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OUR COUNTRY: 

Its Present and its Future Prosperity. 




It has become a trite saying, that Peace hath her victories no less renowned 
than War. The United States being now at peace with all mankind, and being in 
the midst of great prosperity, the occasion has seemed to me appropi"iate for a discus- 
sion of some of those greater problemis of statesmanship, the correct solution of which 
may tend to give to our government the honored place it should occupy among the 

nations of the earth, and firmly secure to the generations who shall come' after us 

'it 
the blessings we now enjoy. ■* ^ 

It is with such a feeling that I beg to suggest that among others, the following 
subjects should receive the careful consideratfon of the' present Congress, viz : 

Our Foreign Cotrifnerce, 

The Inter- Oceanic Canal, Our Navy, 

Oar Coast Defences. The Tm^trovetnent of the 3Hssissippi River, 

including an adequate System of Levees, 

Polygamy in the Territories, Ptiblic Schools, 

The Revision of the Tariff, 

And a 3Iodification of the Internal Revenue Latvs. 



I do not propose to discuss these subjects at length in 
this communication, but to make a few suggestions on. 
each. 

FOREIGN COMMERCE. 

Foreign Commerce is considered among the nations of 
the earth an element of strength and of profit. The 
amount of this traffic enjoyed by the United States is 
amazingly small, as will be seen by the following statement 
of the Secretary of the Treasury in his last report: "Of the 
merchandise brought in at seaboard, lake and river ports 
during the year, an amount of the value of $133,631,146, 
was imported in American vessels, and $491,840,269, in 
foreign. Of the exports of merchandise, an amount of 
the value of $116,955,324 was shipped in American, and 
$777,162,714 in foreign vessels. Of the combined imports 
and exports of merchandise, 16 per cent, only of the total 
value was conveyed in American vessels; and the amount 



of transportation to and from our ports in our own vessels, 
has fallen off one per cent, in the fiscal year i88i,.as com- 
pared with that of 1880." 

During the years of the late war, our foreign commerce 
was swept from the ocean. Since the close of the war but 
little progress has been made in recovering our former 
position. The question now is, v hat can be done in that 
direction 'i The question of subsidizing steamship lines 
has received the attention of Congress for many years past. 

The word subsidy has come to mean in this country a 
sort of a contribution, a payment of money by the Goverr>- 
ment without receiving an adequate return therefor. It is 
sometimes called a steal. The word has become obnoxious 
to the American people, and it is time it was dropped 
when the question of mail transportation in steamships to 
foreign ports is under consideration. 

The future growth and development of this country is 



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largely involved in the question of our foreign commerce. 
Our inland commerce by rail and by water is in a high 
state of advancement; but, alas for our foreign commerce; 
what can be done for it? 

The time has come when the Government should adopt 
a new policy relative to the transportation of United 
States mail to foreign countries. In my judgment the wise 
sj'stem to adopt is as follows, viz: 

Congress should provide by the necessary legislation 
that the United States mails shall be carried in Ameri- 
can bottoms under the United States flag — the steamships 
to be commanded by citizens of the United States — to all 
the leadinor commercial centers of the civilized world: 
The contracts to be let for a term of ten, twelve or fifteen 
3'ears to the lowest responsible bidders, the Government 
reserving the right to increase the service at discretion with 
said contracting parties by giving due notice; the Govern-' 
ment to determine as to the size and class of ships to be so 
employed; payment for such mail service to be made 
quarterly. 

I am aware that to carry out a broad and comprehen- 
sive system of mail service will require an outlay of 
large sums of money yearly. The question is, will it pay F 
I answer in the affirmative; I think it will pay, — possibly 
not in the first decade, but in the second and for all time 
thereafter. 

The time has come for this nation to lay aside the 
narrow policy that was adapted to its prosperity during 
the earlier years of its existence, including a high protective 
tariff, and prepare to enter the markets of the world, not 
only with its agricultural products, but with its manu- 
factures and the products of its mines. Regular and fre- 
quent mail service, including a comprehensive money order 
system to facilitate exchanges, are indispensable in estab- 
hshing and maintaining foreign traffic. The benefits to 
be derived from a broad and comprehensive system of mail 
service are incalculable. The shippers of goods to foreign 
ports will feel that they are doing business through and 
with their own people. The flag itself furnishes protection 
and gives confidence and security to shippers. 

With our present population of over 50,000,000, aug- 
mented annually by the natural increase and the enor- 
mous immigration that is pouring in upon us, which 
will be largely increased as the years roll on, by the 
close of the present decade the population will number at 
least 68,000,000, and by the close of the present century 



it will without doubt reach 100,000,000. If this vast 
population, together with all the enginery of production, 
is to be kept employed, foreign markets for a large per- 
centage of the productions of the countr}' must be sought 
out, and there is no time to be lost in laying and carrying 
into execution plans to meet a condition of things which is 
sure to come. 

I am not unmindful of the fact that in this age of tele- 
graphs, telephones and rapid transit, the markets of the 
world are gravitating more nearly to the same plane of 
values. Labor, too, is destined to undergo the same inevit- 
able changes — not that the labor of this country will speed- 
ily recede to the price of that of the more densely populated 
countries, but that as the modern forms of Christian civil- 
ization shall be extended to those countries, labor will 
enhance in value in like proportion. 

We maj' negotiate treaties to restrain the influx of foreign 
population — especiall}' the Chinese — yet they will come. 
The Christian missionary is abroad, and wherever he goes 
the principles of the brotherhood of mankind are taught. 
These embrace tlie right of man to emigrate to better his 
condition. We ourselves are the descendants of immi- 
grants. Therefore wherein exists the right of one nation 
to say to the overcrowded population of another, your 
people shall not immigrate to our shores ? The facts are, 
the right does not exist except as to criminals and paupers, 
and possiblj' as a measure of self-defense to protect the 
welfare of our own people and to avert impending danger 
to our institutions. 

There is but one practical course left open for this 
nation to pursue, and that is to meet this great influx of 
population as they land on our shores, with the spelling- 
book in one hand and the Bible in the other, and teach 
them to become God-fearing and law-abiding citizens. 

I have discussed this question more at length than I 
intended, but its breadth and magnitude are so vast I could 
hardly say less and say anything. 

I am clearly of the opinion that to invest $15,000,000 
annually — and more if necessary — in carrying into oper- 
ation the plan herein set forth, would be a wise and pru- 
dent investment for the Government to make ; that our in- 
creased commerce with foreign countries would repay the 
expenditure and a large percentage of interest thereon be- 
fore the close of the present century. At the same time the 
expense would be scarcely felt, as the money would largely 



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be expended among our own people in the construction 
and equipment of ships for the same service. 

A mail service once established as herein contemplated, 
our foreign representatives could facilitate immensely the 
building up and establishing a profitable trade in the 
countries to which they are accredited by gathering mar- 
ket statistics in those countries for publication in this 
country. I am aware that this is done at the present 
time to some extent, but as yet it avails but little. 

We must bring the foreign markets to our ver}' doois 
by regular and frequent mail service, and by rapid and 
cheap transportation, and by a reliable and inexpensive 
money order system. The present is an auspicious time 
to inaugurate and carry into operation this great and far- 
reaching enterprise. 

To carry this plan into operation would be far more 
beneficial to American commerce and American industries 
than the famous Navigation Laws were to the commercial 
and manufacturing industries of England, which were 
enacted by the Long Parliament, so called, in 1651. 

There is paid annually about $100,000,000 for the trans- 
portation of American exports to foreign countries. Of 
this large sum American ships receive onl)' sixteen per 
cent., while the balance is paid to foreign ship-owners. 
Wise legislation will soon change this order of things, and 
American products will be carried to market in American 
ships, and this country will share in the profits of this 
great traffic. The importance of recovering our former 
position in the tbreign carrying trade cannot well be over- 
estimated. 

INTER-OCEANIC CANAL. 

A glance at the topography of the Western Hemisphere 
is all that is needed to convince the most skeptical of the 
great importance of a water-way to connect the two great 
oceans. 

This is no new question, but it is one in which the 
United States has a vital interest, and one in which every 
commercial nation of the globe has a greater or less interest. 

The United States being the most deeply interested in 
this important question should, in my judgment, assume 
the responsibility of constructing the canal, provided after 
a careful survey shall have been made it is deemed practi- 
cable, and provided further that the right of wa}- can be 
secured by purchase or treaty when the most advantageous 



locality shall have been determined upon. The cost of 
making the necessary surveys to determine as to the prac- 
ticability of constructing the canal would not be large. 
Negotiations for the purchase of the right of way could 
progress while the surveys were being made. Ample terri- 
tory should be secured not onU' for the construction ot 
the canal but also for its defense. 

In view of the fact that at no distant day Mexico and 
the Central American States are likely to become absorbed 
by the United States, not by conquest but by their own 
volition, the necessary territory for the construction and 
defense of the canal could be had at a moderate cost. If 
the canal is to be opnstructed, it should be of ample 
capacity to pass readily the largep'jjjclass of ships that are 
likely to navigate the ocean. 

Doubtless the right of way and the cost of constructing 
such a water-way would not exceed $150,000,000. Such 
a canal as is herein contemplated, once an accomplished 
fact, would be a good investment for the United States at 
two or even three times the amount herein stated, as the 
United States would then hold the key to the commerce 
of the world. The Commerce of Eastern Asia and 
Western Europe, as well as that of our own country and 
South America, would seek a passage through the proposed 
canal, the route being so much shorter, sater and cheaper. 
The advantage thus secured would endure for all time. 
This work once entered upon and prosecuted vigorously 
doubtless could be completed within the next five or six 
years. 

Foreign nations should be permitted to share in the 
benefits of the canal when completed, for such reasonable 
consideration as may be agreed upon under treaty stipu- 
lations. 

It is true that this is a vast undertaking, but I believe 
the United States are equal to the task and cannot afford 
to permit the proposed canal to pass under the control of 
one or more foreign powers. That it is sure to do so unless 
this Government assumes its construction and control there 
is but little reason to doubt. 



OUR NAVY. 

The Navy of this country, since the close of the late war, 
has been permitted to waste away until it is hardly worthy 
of the name it bears, when compared with that of England 
and other European States. It is true that thus far we 



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have escaped all harm irom foreign or domestic foes, but 
is it safe or wise to rely wholly upon our past good fortune 
for our security in the future ? War may be very remote, 
yet it may be very near. Prudence would seem to dic- 
tate, now that we have largely recovered from the desola- 
tions and burdens of taxation occasioned by the late war, 
and while the country is prosperous and our revenues are 
ample, that we should put ourselves in a condition to meet 
any emergency that may be likely to arise. In view of 
our extended coasts on the Atlantic, Pacific and the Gulf 
and our foreign interests and the foreign commerce we 
now have, and what we may hope to recover by wise and 
comprehensive legislation, it would seem to be only com- 
mon prudence and wise foresight to provide a Navy ade- 
quate to successfully resist the combined attack of any 
forces that are likely to be concentrated against us. To 
do less than this would seem to be an act of supineness too 
hazardous and too perilous to contemplate. 

OUR COAST DEFENSES. 

Under modern methods and systems of warfare coast 
defences may to some extent have tallen into disuse ; at 
the same time it cannot be regarded as wise and prudent 
to abandon them altogether. The old system of fortifica- 
tions doubtless have had their day as a means of adequate 
defence, but because the old systems have become super- 
annuated and of no practical utility, is it wise or pru- 
dent to flatter ourselves that diplomacy will forever here- 
after supply the place of coast defenses and of navies ? 
Such a policy would evince a weakness not unlike a far- 
mer who expects to reap an abundant harvest without 
plowing or sowing his fields. A great Commercial Nation 
cannot afford to act upon the theory that, whereas we 
are now at peace with all Nations and peoples of the earth, 
therefore, there will be no more war, and therefore, no fur- 
ther need of coast defenses or navies. 

The facts are, the ambition and passions of men remain 
substantially unchanged from age to age. Emergencies 
may arise in the near future which may bring down upon 
this Nation the anathemas of the combined Nations of 
Europe. In the present condition of our coast defenses 
and of our Nav}^ are we prepared to meet so formidable 
a foe? Can we adequately defend ourselves? If not, ought 
we not to put ourselves in such a condition of defense that 
we may successfully cope with, and banish from our shores 
any forces which may combine against us? 



I believe 1 do not over-state the case when I say that 
to-day we are the most exposed of any Nation of moment 
on the earth; that there are ships of war now afloat, 
capable of entering any harbor on our coasts and of 
destroying our seaports, and the United States would be 
at this time powerless to defend itself If this be true, is it 
wise or prudent to continue in this defenseless condition? 

Does it become us as a Nation to remain thus exposed? 

It would seem to be the part of wisdom in peace to 
prepare tor war; to construct adequate defenses along 
our coasts — the best that modern science and engin- 
eering skill can provide — at whatever cost it may be. To 
do less may be an act of supineness which may cost us too 
dearly. Grave responsibilities relative to these and 
kindred matters rest upon the law-making power of a 
great Commercial Nation which they cannot afford to 
ignore, and certainly which they cannot escape from or 
evade. Ample resources are at the command of the law- 
making power of this Nation to provide adequate coast 
defenses and an adequate Navy. Shall it be done? 

THE IMPROVEMENT OF THE MISSISSIPPI 

RIVER. 

There has been much discussion and some practical 
work done in the direction of suitably improving this 
great water-way for the benefit of the commerce that seeks 
an outlet to the sea. 

The most noticeable of these improvements is the 
successful construction of the jetties at the mouth of the 
Mississippi, where a uniform depth of 26 feet of water has 
been obtained, and there seems to be no doubt but that 
this depth will be increased rather than diminished by 
the action of the water. 

Many thanks and all honor to Captain Eads and to the 
Congress that had the wisdom to make the necessary 
appropriation to carry into operation and to successfully 
complete this great public improvement. The largest 
class of ocean steamers and of merchant ships can now 
pass to and from the port of New Orleans without obstruc- 
tion or hindrance. 

This great and important work, so auspiciously com- 
menced, should be carried forward, and the river so 
improved that there shall be established a water-way at a 
depth of 14 feet from New Orleans to St. Louis. There 
should be included in these improvements an adequate 
system of levees to protect the alluvial lands of the great 



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Mississippi Valley from being flooded and tliereby^ ren- 
dered practically useless so far as ao;ricuUure is concerned. 
The Mississippi River once improved to the depth herein 
named, cheap transportation would be secured for the vast 
agricultural products seeking an outlet via New Orleans, 
and the alluvial lands so reclaimed would add at no 
distant day immensel}' to the cotton and sugar product of 
the countr}^. The upper Mississippi should be adequately 
improved to Minneapolis, also a canal constructed from a 
point at or near Rock Island to Lake Michigan at or near 
Chicago, of ample capacity to accomodate the commerce 
that majf seek an outlet in that direction. The cost 
of these improvements might possibl}' reach $60,000,000. 
That the advantages to be derived from them would amply 
reward the country for the investment there is no manner 
of doubt. 

It is doubtless true that the great South-west would 
share more largely of the benetits of these improvements 
than tlie more Northerly or Easterl}' portions of the 
country. 

If the South-west is rendered more prosperous b}- these 
improvements, the other portions of the country will share 
of such prosperity. 

POLYGAMY. 

i 
This abomination has grown to dangerous proportions, 

and is now so firml}' established in the Great Salt Lake 
valley that it defies the Federal authorities and disregards 
the laws of the United States. It now holds the balance of 
power in the Territory of Utah, and if not checked will 
soon control Nevada, Montana, and W.\'omina". The Mor- 
mons now number about 200,000; the yearly accessions to 
their numbers from all portions of the world are astonish- 
ingly great. The conflict between polygamists and 
non-polygamists in this country is no less irrepressible 
than was the question of freedom and slavery. We must 
choose the one or the other; the two systems cannot peace- 
fuU}' exist on this continent. 

If polygamy is to be suppressed b}- the authorit}- of the 
United States (and there is no other power tliat can sup- 
press it), there is no time to be lost in securing the enact- 
ment of such broad, humane and comprehensive laws as 
shall prove effective in crushing it out. 

I venture a tew suggestions as to tb.e legislation required 
to prove effective and successful in this matter : 



In the first place, let us consider what is involved in 
this question that we may be better prepared to deal with 
it. 

First, there are about 200,000 polygamists; of this num- 
ber it is estimated that there are 70,000 children born in 
plural wedlock, so called. To these children and to the 
mothers who bore them the abolition of polygamy means 
a social revolution. These mothers and their children are 
to become absolved or freed from all allegiance to the hus- 
band and father in plural wedlock. What is to become of 
them when the Federal law comes in and severs 
the relation of husband and wife, or father and chil- 
dren, though the relation be of plural wedlock ? Who 
is to care for, and become responsible, for the support of 
these unfortunate m?!thers and children ? This is a question 
of great moment, and demands and must receive careful 
and humane consideration from the Government. In a 
word, they should become the wards of the Government. 
The care and maintenance of these mothers and children 
once solved and fairl}' settled on a wise and humane basis-, 
all other questions connected with the abolition of poly- 
gamv may be regarded of easy solution. 

Let us consider briefly where the responsibility rests 
for the unfortunate condition of these mothers and for the 
children born in plural wedlock. 

This system of polygamy originated in this country 
under the name of Mormonism, within the memory of 
many now living. It first concentrated its followers at 
Nauvoo, Illinois, under the leadership of Joseph Smith. 
The first temple to Mormonism was built there. They 
were driven from Nauvoo in the year 1842; thev took up 
their line of march for the Great Salt Lake valley. When 
they left Nauvoo they were much distracted and broken up. 
The Government at that time, with the slightest effort could 
have exterminated polygamy, but that opportunity was 
allowed to pass unimproved. The Government not only neg- 
lected to crush it out at that time, but it has since made poly- 
gamy honorable by appointing the chief polygamist Gov- 
ernor of the Territory of Utah and by admitting pol}'gamists 
to the halls of C'ongress. The Government is itself respon- 
sible for the condition ot things in Utah and the adjacent 
territories. Had it performed its duty forty years ago, this 
abomination would not to-day be a disturbing element in 
our social and political structure. 

This question should now be squarely met and solved 
by the presentgeneration. The method which to my mind 



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will prove the most humane and successful, and on the 
whole the cheapest, is for the mothers who have borne 
children in plural wedlock, and the children born in plural 
wedlock, to become the wards of the Government, to be 
provided for at the expense of the Government until the 
children so born shall have arrived at their majority and 
the mothers shall have settled again in single wedlock or 
shall have passed away by death. These unfortunate 
women and children may be provided for on farms to be 
furnished by the Government, or in communities which 
may engage in the various departments of manufactures, 
or the Government may furnish them homes in the farm- 
ing districts in severalty and grant a pension to each 
mother with children dependent upon her. Doubtless this 
last method would be the most practicable and the easiest 
and cheapest solution of the social problem. 

These children should have the benefit of a common 
school education at the expense ot the Government. In 
the case of orphan children born in plural wedlock, the 
Government should provide State public schools, embrac- 
ing a system of cottage homes conveniently located on a 
farm provided for the purpose, similar to the State Public 
School in Michigan, which has been in successful operation 
for some years past as a home for indigent orphan children 
of the State. 

The children born in plural wedlock should inherit the 
name of their fathers respectively as fully as though they 
had been born in single wedlock. 

The Government should make ample and liberal pro- 
vision for these mothers and children, in advance of the time 
when the law shall come in and sever the relations Avhich 
now exist, so that when they shall have become absolved 
or freed from the husbands and fathers in plural wedlock, 
they shall pass directly under the guardianship of the 
Government, and be provided for and protected by it, 
under the provisions herein .contemplated. Much suffering 
on the part of these unfortunate mothers and children will 
be obviated by so doing. 

It will not do for the Government to leave these 
mothers and children unprovided for and unprotected; 
such an act on the part of the Government would be bar- 
barous in the extreme and a disgrace to the Christian 
name, and to the civilization of the age in which we live. 

The legislation necessary to the suppression of polyg- 
amy is a matter about which men will widely differ. It 
seems to me the wisest plan to adopt is to abolish the 



present Territorial Government and place the manage- 
ment of the affairs of the Territory in the hands of a 
commission of twelve or fifteen good, true and competent 
men, under the direction of such laws as Congress shall 
provide. 

Stringent legislation which shall provide severe punish- 
ment lor the indulgence in polygamous practices should 
be enacted. Ample military lorce should be provided to 
sustain the commission in the enforcement of law. The 
President should be authorized to proclaim martial law in 
any district in the Territories where polygamy is prac- 
ticed, and where the civil authorities are powerless to 
enforce the laws. 

If it is contemplated that these people will submit 
without resistance to surrender their polygamous prac- 
tices it is a delusion. They will resist to the utmost 
unless the commission is sustained and supported b}- ample 
military power to stamp out any incipient rebellion. 

The details of this work must in the main be left to the 
wisdom and discretion of the commission appointed to 
execute the laws Congress may provide. 

That it will cost large sums of money to provide tor the 
wards of the Government and to enforce the laws neces- 
sary to suppress the abomination, there is no doubt, but 
it should be done at whatever cost of treasure. Should 
the cost not exceed $10,000,000 annually for the next 
ten or fifteen years we may esteem ourselves fortunate. 
The revenues of the Government are ample to provide 
whatever shall be needed. 

This is the question of the hour, and the American 
people demand at the hands of the law-making power such 
legislation as shall prove effectual in the suppression of 
the entire system of polygamy in all the Territories. 

PUBLIC SCHOOLS. 

Statistics ol the late census furnish unmistakable 
evidence of a condition of illiterac}' in some portions of 
our country, which is much to be deplored ; in fact it is 
alarming when we contemplate the logical sequence of 
this condition of things. Ignorance as a rule begets vice, 
crime and revolution. Good government is impossible 
where ignorance predominates, and more especiall}'^ in a 
representative and elective Nation like ours. A Govern- 
ment of the people, by the people, for the people, to be 
enduring, must rest upon the intelligence and moral 



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worth of the people. These premises admitted — and no 
one will attempt to deny them— it becomes a question of 
great moment as to the duty and power of the Govern- 
ment to remedy the conditions of ignorance and illiter- 
acy herein referred to. A Nation in self-preservation raises 
armies and equips navies to repel an invading foe or 
to suppress a rebellion. Nothing more imperils and 
endangers the stability and perpetuity ol Government 
than ignorance, and the vice and crime which follow in 
its train. Therefore, if the national life is worth pre- 
serving, it is eminently fitting and proper for the Govern- 
ment to provide in advance against a condition of things 
which, if permitted to develop, and to extend uninterrupt- i 
edl}', would sap the very foundations of the Government, 
and ultimately destroy it. 

The ignorance which pervades a great mass of the 
popvilation of this country is a standing menace to the 
stability and perpetuity of the Government. This state- 
ment cannot be successfully controverted; the late census 
establishes this fact beyond all controversy. What, then, 
is the plain duty of the Government in the premises? It 
must provide a remedy against the evils which threaten it. 
This can be successfully accomplished only in one way, and 
that is by educating the masses at the expense of the 
public Treasury wherever it is necessary to do so; to 
expend public moneys in this direction is just as legiti- 
mate as it is to expend money to raise and equip armies 
and navies to repel an invading foe or to suppress a 
rebellion. 

Ignorance is a foe, more insiduous and more subtle 
than any and all other dangers combined that now 
threaten the stability of our institutions. Therefore, it is 
the plain duty of the law-making power of this Nation 
to enact such laws and make such appropriations from the 
public Treasury as shall furnish school accommodations 
to all persons of school age between .six and sixteen years 
inclusive, and to make the attendance upon the public 
schools so established compulsory for a period of not less 
than six months of each year, unless perhaps excused 
by competent authority where the labor of such children i 
is necessary for the support of the aged and indigent. 

It may be urged that a large portion so appropriated 
would be expended in the Southern States. If it is most 
needed there then it should certainly be expended there. 
There should be no sectional strife or preferences in this 
matter. Every true American is proud of the fact that 
we stand to-day an undivided Nation — one flag, one com- 



mon interest and one common destiny. The education ot 
the rising generation without distinction of sex, race or 
color, is a matter of great national importance, to the end 
that every citizen shall be prepared to perform well and 
intelligently his duty in a wise use of the franchise con- 
ferred upon him. 

The expenditure by the Federal Government ot $15,- 
000,000 annuall}', or more it needed for the purposes 
herein stated, must be regarded by all prudent men as a 
wise and judicious use ol the public moneys. 

It ma}^ be claimed that for the Government to enter the 
field to secure to the rising generation a common school 
education in the several States and Territories, would be a 
step toward the centralization of more and greater power in 
the General Government. While this may or may not be 
true it certainly is the most direct, simple and inexpensive 
method that can possibly be adopted to establish on a 
firm and enduring basis the institutions we all cherish so 
dearly, a free government by the people; the grandest 
inheritance ever vouchsafed to man. 

We have now arrived at a period when the conditions 
of the country are most favorable for the Government to 
enter upon this great and all-important work. 

There is no political strife on sectional animosity. 
We are more closely allied to-day in feeling and in interests 
than at any time before in the history of our country. 
We should know no North, no South, no East and no 
West in this undertaking, but one country working 
together for one common good to all. 

Again, the revenues ot the Government are in a con- 
dition to warrant the e.xpenditure of whatever money may 
be necessary to expend from year to year in this direction, 
and the country is enjoying a high degree of prosperity. 

Another important factor that should not be overlooked 
in this connection is the very large and constant^ increasing 
foreign emigration that is coming to our shores each success- 
ive year. These foreigners soon become our peers at the 
ballot box. An educational qualification should determine 
as to their fitness to wisely exercise political power in a free 
government. Since there is no educational standard inter- 
posed for the adult population as to their fitness to use wisely 
the elective franchise, it is all the more important that the 
rising generation should receive a common school educa- 
tion in the common English branches. The machinery 



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for carrying out this great and important undertaking can 
wisel}' be left for Congress to provide. 

Doubtless the several State governments whose people 
should receive substantial aid from the Government in 
support of its public schools, would so modify their statutes 
as to work in harmon}- with any system that may be pro- 
vided by Congress; 

The constitutional power of Congress to establish an 
educational standard as a condition to the exercise of the 
elective franchise in the election of members of Congress 
and of presidential electors cannot be questioned, and the 
sooner such conditions are provided the better for the 
country. 

Intelligence and moral worth are the great bulwarks of 
free institutions and a free government. Whatever will 
strengthen and perpetuate these should not be omitted. 



THE TARIFF AND REVENUE LAWS. 

The revision ot the tariff has received much attention 
h'om Congress for several sessions; it has been widely 
discussed through the public press, but as yet no com- 
mon ground of agreement has been reached. 

While I do not propose to enter the broad lield of tariff 
discussion, I desire to make a few suggestions that may be 
of some practical benefit in settling the great questions of 
providing ample revenue for the support of the Govern- 
ment in all of its departments and for carrj'ing forward to 
successful completion the great enterprises which it now 
seems expedient for it to enter upon. There was collected 
during the fiscal year ending June 30th, 1881, from cus- 
toms $198,159,676.02; internal revenue, $135,264,385.51; 
public lands, $2,201,863.17; miscellaneous sources, $25,- 
156,377.87. Total, $360,782,292.57. Total e.xpenditures 
for the same period, $260,712,887.59, leaving a balance to 
apply toward the payment of public debt or other purposes 
of $103,069,409.98. 

Under the blanket revenue laws enacted in 1864, which 
imposed a tax on every industry in the land except that 
of agriculture, there was raised in 1S66, $310,120,448.13, 
and from customs for the same period $179,046,651.58. 
During the war, when the Government was in the market 
to buy a large percentage of the products of the 
country and was disbursing about $2,000,000 daily', the 
country could bear this enormous taxation, but after 



the two great armies had been disbanded and the 
Government had ceased to disburse these large sums, this 
heavy taxation rested with crushing weight upon the 
industries of the country. Under Mr. Johnson's adminis- 
tration the manner of enforcing; the revenue laws became 
in many portions of the country exceedingly obnoxious 
and offensive as well as tyrannical. The tax upon the same 
materials was not infrequently repeated three, four and 
five times before it reached its completion in the finished 
article or fabric. Tiiis heavy taxation and the ofi'en- 
sive and well-nigh barbarous methods of enforcing 
the revenue laws, had created universal dissatisfaction 
in all parts of the country; in fact it threatened the coun- 
try with bankruptcy, repudiation and ruin. No people on 
earth, be they ever so loyal, could long endure such a 
drain upon their resources. In the fall of 1866 there was 
organized in the City of Detroit, a manufacturer's Associa- 
tion for self-protection against the offensive and unjust 
manner of enforcing the revenue laws. In December ot 
the same year the undersigned was made chairman of a 
committee on internal taxation as imposed by the Govern- 
ment. Early in January, 1867, I proceeded to Washing- 
ton for the purpose of making a careful examination of our 
own sxstem of revenue, and the systems that had been 
adopted by the leading governments of Europe. 

The departments obligingly placed at my disposal 
abundant information on the subject of revenue. Having 
made a thorouL^h and careful investigation of the systems 
ot revenue as applied in this country and by the leading 
nations of Europe, a report was prepared relieving all the 
industries of the country producing necessaries of life from 
all taxation for internal revenue purposes. Careful com- 
parison and investigation revealed the fact that the 
sources of revenue, including customs, could \>e reduced to 
ten which would be reliable, and from which ample 
revenue could be derived to meet the requirements of the 
Government, including the sinking fund. 

Accordingly a report was prepared on this basis which 
provided for the repeal of the taxes imposed upon all 
industries producing the necessaries of life, including 
the tax on sugar and cotton and the obnoxious income 
tax. The report provided for an increase of fifty per cent, 
on what was then known as specific taxes, from which there 
was collected in 1866, $18,000,000; from this source it was 
proposed to raise $27,000,000; this tax was payable 
annually. 

The Committee submitted its report to the Association of 



(9) 



Detroit, March 7, 1867. The sweeping reduction of taxes 
proposed in the report seemed to the Association incom- 
patible with safety to the revenues of the Government. After 
full discussion the report was referred back to the commit- 
tee where it slumbered until the i8th of October of the same 
year, when it was again considered by the Association and 
unanimously adopted without the change of a figure. 
A committee was then appointed with power to call a 
National convention of manufacturers at such time and 
place as should be deemed expedient, after consulting with 
the leading manufacturers of the country. Copies of the 
report having been distributed freely throughout the 
country, the proposition to call a National convention 
met with universal approval. 

A convention was called to meet in the city of Cleve- 
land, Ohio, on the iSth and 19th of December, 1867. 
Twenty-four States responded, the attendance was large 
and was estimated to represent over $400,000,000 ot capital 
invested in manufacturing industries. 

After the convention was organized a committee of 
two from each State represented was appointed to whom 
all motions, resolutions and reports relative to the reduction 
of taxes, should be referred. 

After full discussions by the committee of the various 
plans proposed for the reduction of taxes, the report of the 
Detroit Association was adopted by the committee with 
but three dissenting votes. The committee reported its 
action to the convention. After a full and detailed 
explanation of the report presented by the committee and 
full discussion of the same, the report was adopted without 
the change of a figure, with but six dissenting votes. 
A committee of leading manufacturers was then appointed 
to lay the report before Congress with a request that 
prompt action should be had in the reduction of taxes. 

On the 22d of January following a large convention of 
New England and Eastern manufacturers was held at 
Worcester, Mass., at which the report adopted at Cleveland 
was unanimously adopted without the change of a figure. 
A committee was also appointed to lay the report before 
Congress and to ask prompt action in the repeal of taxes. 
Within sixteen months from the time the report 
was submitted to the Detroit Association all the taxes 
upon all the industries of the country producing the 
necessaries of life (except one or two minor industries), 
including the tax on sugar and cotton, had been repealed. 

The relief afforded by this great reduction of taxes at 



that time, produced, as it were, a rebound from a condi- 
tion of deep depression and grave apprehension to one 
of great activity and unexampled prosperity throughout 
the country. Had a debt paying era ensued instead of 
a debt contracting era, the calamities which came upon 
the country in 1873 and continued for six years would 
have been avoided. But the American idea seems to be 
to go it strong and go it fast and go as long as you can 
and take the chances, and they did it. It is much to be 
desired that this Nation shall learn wisdom from past 
experience, and that our people will adopt the rule to pay 
as they go, and thereby avoid a repetition of the exper- 
ience of the past. Happily we have been favored with 
abundant crops for the past few 3'ears, and the country is 
now enjoying a period of unprecedented prosperity. 

I have always been in favor of a protective tarifi' and 
am now, but I am not clear that excessive protection is in 
the long run the best thing for the domestic manufact- 
urer. 

A wise and judicious modification of the tariff seems to 
be a pressing necessity for the general welfare and pros- 
perity of the manufacturing industries of the country. 
The advocates of a high tariff' from which may be col- 
lected all or nearly all the revenues necessary for the 
support of the Government, and a corresponding reduc- 
tion of internal revenue ta.xes, seem to have closed their 
eyes to the fact that excessive protection tends to enhance 
the cost of the domestic manufacturers, and tliat such 
increased cost will diminish or preclude the possibilit}' of 
exporting any surplus products the country may have. 
Forty years ago a high protective tarifT seemed to be a 
necessity, happily that period has passed. 

For the most part the manufacturing industries have 
reached a point where they can successfully compete with 
the same class of goods produced in foreign countries; 
there are exceptions to this rule but they are becoming 
less year by year. As I have heretofore stated, this Nation 
has now reached a point when it should prepare to take a 
position among the manufacturing nations and compete 
successfully with them in the markets of the world. This 
cannot be done under a high protective tariff; to fail to 
revise and reduce our tarifi" is to limit the market of 
American manufactures to our own country. 

If we would become permanently prosperous, the manu- 
facturing industries of the country must gravitate to a 
plane of cost of production that will enable our surplus 



(10) 



products to be put upon foreign markets at a margin of 
protit. 

Our population is now over 50,000,000. There was 
added bj' immigration in 1881, 719,000, besides the natural 
increase. 

The immigration to this country will largely increase 
year by 3'ear. These new comers, together with the 
natural increase of population, must find employment on 
the iarm or in the factory. Therefore in process of time, 
the value of labor in all civilized countries will gravitate 
to nearly the same plane, and the products of labor will in 
like manner gravitate to nearl}"^ the same market value. 
When this period shall arrive protective tarifl" legislation 
will disappear from our statute books. I think I hazard 
nothing in the prediction tliat a century hence protective 
tariff" legislation for revenue purposes will not be found 
among the statutes of any Nation. 

Therefore, in a revision of the tariff it would seem wise 
to diminish rather than increase the revenues to be 
derived therefrom, which will preclude any material 
reduction in internal revenue taxes. Possibly it would be 
an act of simple justice to repeal the bank tax, as the bonds 
now hypothecated to secure the circulation of the National 
banks now draw but 3)^ to 4 per cent, interest instead of 
five or six per cent, as heretofore. 

Taxation for internal revenue purposes is compara- 
tively light. It cannot be regarded burdensome, as it is 
now applied for the most part to luxuries and not to the 
necessaries of life. 

Tarifl" duties should always be specific whenever prac- 
tical to avoid the temptation of fraud by under valuation. 

EXPORTS AND IMPORTS. 

The exports for the year ending June 30th, 1S81, were 
$902,377,346. The imports for the same period were 
$642,664,628. Showing the balance of trade in favor of 
the United States to be for the period above named 

$259,712,718. 

The imports of gold over exports for the same period 
was about $62,000,000. 

The annual gold product of this country is about 
$36,500,000. The annual silver product about $42,- 
100,000. Thus it will be seen that the increase of gold 
and silver for the period above named was about $140,- 
600,000, less the amount used for manufacturing purposes. 



The amount of National Bank notes outstand- 
ing at this time is------- $361,014,786 



Government notes or greenbacks 



346,681,016 



Total currency circulation - - - . $707,695,802 

Estimated gold and silver coin and bullion in the 
country, $750,000,000, which, if reduced to coin, would 
give the countr}' a circulating medium, based on specie of 
over $1,450,000,000 or over $29 per capita, which is a 
larger circulation per capita based on specie than has ever 
been enjoyed by an}' Nation in the history of the world 
with one exception. 

Our National Banks afford the safest and the best 
system of banking ever enjoyed by any Nation in the 
history of the world. Twent\' 3'ears' experience has 
demonstrated the fact above stated, and it should not now 
be disturbed. The benefits the country has derived from 
it cannot be estimated. To abolish it, would bring upon 
the country financial ruin. The financial condition of the 
country is all a prosperous people could ask. The 
National debt has been reduced to a point where it does 
not embarass tiie business of the country or impair its 
credit, in fact no country in the world enjoys a higher 
or a better credit at home and abroad than the United 
States. 

The countr}' is now in a condition where it can wisely 
and prudently appropriate annually at least sixty per 
cent, of its surplus revenues to the enterprises herein dis- 
cussed. It should here be stated and distinctly understood 
that in entering upon these various enterprises there is no 
drain upon the resources of the country except the diver- 
sion of whatever labor may be required to carry them 
forward to successful completion. The money so appro- 
priated would for the most part be expended within our 
own borders, the labor thus employed would be fed and 
clothed from our own farms and factories, and all the 
implements and materials used would be furnished by 
this country. 

The small amount of tax paid by each inhabitant of 
the country and so expended would never be felt, yet in 
a period of twenty j'ears these undertakings may be 
pushed forward to successful completion. 

The expenditure of one dollar per annum for each in- 
habitant of the United States for a period of twenty years 
will successfully establish mail transportation in American 
ships with every leading commercial center in the civilized 
world, and thereby establish a foreign market for the sur- 



(11) 



plus products of the country, and also recover at least 
seventy-five per cent, of the carrying trade, to and from 
this country and a large percentage of the foreign com- 
merce now carried on outside of our own country. 

On the present valuation of the foreign commerce of 
this country, it would bring to the carr3'ing trade of this 
country full •'?75,000,ooo annually' which is now being 
paid to foreign ship owners for carrying American pro- 
ducts to foreign markets; and as the producing power of 
this country shall increase, the reward will be correspond- 
ingly greater year by year. 

The development of our foreign commerce in the man- 
ner herein provided, and the markets secured for our pro- 
ducts, would become in a few years the source of vast and 
untold wealth to the country. 

The average expenditure of $15,000,000 annually for a 
period of twelve or fifteen years will accomplish for the 
foreign commerce and for the industries of the country all 
that is contemplated herein. 

Relative to the inter-oceanic canal it may be urged that 
the advantages to be derived therefrom are too remote to 
warrant this generation in expending any money thereon ; 
the same objection would be equally forcible at any future 
period. It is not only the duty of a nation to provide 
for the present generation, but it should make all 
reasonable provision for the prosperity and welfare of the 
future. We are to-day reaping bountiful blessings from 
the wise foresight of those who have gone before us; we 
should be equally faithful to plan and to build wisely for 
the generations that are to come after us. The expend- 
iture of $15,000,000 annuall}' for the next twenty 3'^ears, 
if so much shall be needed to secure the right of way and to 
construct this great water-way between the two oceans, 
would hardly be felt by this nation and would be a lasting 
benefit to commerce of other nations that shall secure the 
right to use it by treaty stipulations. 

Doubtless the most practical and feasible route is via 
Lake Nicaragua and the San Juan River. The successful 
completion of this great water-way upon a plan commen- 
surate with the requirements of the commerce of the world 
seeking a passage through it, would be an achievement 
worthy the age in which wc live. To neglect the pre- 
sent favorable opportunity may prove a national calamity, 
the magnitude of which cannot now be fully estimated. 
The present is a most auspicious period in which to enter 
upon this great and important undertaking. It is a work 



for a nation to perform and not for individuals to under- 
take. 

The construction of adequate coast defenses and the 
equipment of a navy are the legitimate current expenses 
ot the Government, and should be treated as such; no 
estimate of the expenditures required for these purposes 
is necessary. 

Our coast defenses should be brougiit to the highest 
possible perfection. 

Our nav}- should be made adequate to protect the 
national interest and the nation's honor at home and 
abroad. It should not be second to that of any other power. 

If we would enjoy peace and tranquility, we must be 
fully equipped for prompt and aggressive warfare. 

The improvement of the Mississippi River has received 
much attention; the necessity therefor is brought closely 
home to every one by the oft repeated overflows which 
inflict such distressing losses upon the people as have been 
experienced almost from year to year. A system of levees 
should be constructed adequate to protect those rich and 
fertile districts from devastation b}' oft repeated floods. 
For the purpose of commerce it should be made adequate 
to meet the requirements thereof, and may properly include 
the Upper Mississippi and the construction of the Hen- 
nipin canal to connect the waters of said river near Rock 
Island with the waters of Lake Michigan at or near 
Chicago. The expenditure of $5,000,000 annually for ten 
or twelve years would accomplish this important work. 

Whatever expenditure may be necessary to suppress 
the social evil of bigamj' and polygamy in the most 
humane and effectual manner should be made; the cause 
of humanity and the nation's honor are involved in this 
question. 

Since free institutions and a free government have tor 
their foundation the ballot in the hands of a free people, 
it is a question of greatest moment that the ballot should 
be intelligently cast. This can be successfully accom- 
plished in no way except through a well organized public 
school sj'steni throughout all the States and Territories, 
and where aid is needed from the public treasury to estab- 
lish and support these schools it should be forthcoming. 
Tlie expenditure of $15,000,000 annually, or more if neces- 
sary, to the end that every vote shall be intelligently cast, 
is a legitimate outla}' to preserve the life of the nation. 
Attendance upon school for a period of six or eight 



i 



'(12) 



f 



months annually during the school acre from six to 
sixteen, should be made compulsory throughout the 
United States. In this way only can the dangers which 
ignorance and vice now threaten to our institutions be 
averted. 

The expenditure ot $60,000,000 annually, or more if 
necessary, to carry forward to successful completion these 
great enterprises would not embarrass the industries of the 
country, but, on the contrary, would greatly benefit them. 

When we consider the vast resources of agriculture, of 
gold and silver mines, of coal and iron, of copper and 
petroleum, and the vast productive power of the manufac- 
turing industries of the country, the expenditure proposed 
would scarcely be felt. 

The rapid reduction of the national debt has been 
extremely gratifying, and has established a national 
credit of which we may well be proud, but the necessity 
for further rapid reduction does not exist. 

The present revenues of the Government will provide 
tor the expenditure herein named and leave an annual 
balance of $40,000,000 to apply to the further reduction 
of the national debt. 

Let us take a retrospect of the past fifty years and see 
what has been accomplished. The national domain has 
been greatly extended; State after State has taken its place 
in our Union, others are now asking admission. The pop- 
ulation in 1830 was 12,866,020; in 1880 50,^:55,783, 
and by the close of the present century it will be over 
100,000,000. 

Within the past fift}' years over 100,000 miles of railroad 
have been constructed and equipped at a cost of over 
$6,000,000,000. State after State has been populated and 
is now teeming with a varied industry and with untold 
wealth. 

The question of freedom and slavery has been settled 
at a fearful cost of blood and treasure, but it is settled lor 
all time. With these vast and rapidly increasing 
resources, and with almost unlimited powers of production, 
supplemented by the inventive genius of the people, the 
undertakings herein proposed seem to be wise and 
expedient. • 

If the country could rise to a clear comprehension of 
the magnitude of the benefits to be derived from a success- 



ful comptetion of tlie undertakings herein ^vocated, tliere 
would be no unnecessar}' delay in entering upon them, and 
no lack of means to push them forward to successful com- 
pletion. The benefits herein contemplated would not be 
limited to this generation or to the next, but would extend 
for ages to come. 

Labor, the great producing power of the Nation, is 
equal to the undertakings. 

Labor brings from the mines, the forests, and the fields, 
the hidden treasures thereof. It fashions and prepares 
them for the uses of men. I^abor moves the lever that 
puts in motion the hidden forces of nature that moves the 
machinery of the world. Labor purifies the fountains a' 1 
channels of human life. Without labor there is neither 
accumulation nor progress; therefore, all honor to honest, 
faithful and intelligent labor. A government should 
plan wisely for the welfare of its labor, in so doing it 
plans wisely for itself. 

Wise, broad and comprehensive legislation that shall 
place this Nation in the front rank in the carrying trade 
of the world, and shall open foreign markets to receive 
the surplus products of the country; that shall construct 
the great water-way to connect the two great oceans, and 
shall thereby place in the hands of this Nation the key to 
the commerce of the world; that shall construct adequate 
coast defenses, and place at the command of this Nation a 
navy second to that of no other power; that shall set ade- 
quate bounds to the waters of the great Mississippi River 
beyond which its waters shall not pass, and shall so improve 
it as to accommodate well the commerce that seeks an out- 
let upon its bosom; that shall suppress the great crime 
and social evil of polygamy ; that shall estabhsh a 
system of common school education upon a basis so broad 
and so deep that the ballot in the hands of coming genera- 
tions shall be intelligently cast and honestl}' counted, 
•will erect a monument of true statemanship more endur- 
ing than granite rocks. In so doing it will establish the 
Nation on foundations that shall endure. 

A wise and prudent government -forecasts the futur# 
and provides accordingly. 

Very respectfully, 

DAVID M. RICHARDSON. 



Detroit, Mich., March 28, 1882. 



i^S^-^ 



SUPPLEMENT 

TO PAPER DATED MARCH 28th, 1882. 



In March last, believing the time was appropriate therefor, I prepared and distributed a paper 
wherein I endeavored to discuss some of the public questions of great concern to the nation's 
prosperity. 

Its kind and candid reception — attested by considerable newspape;: discussion and a large 
number of letters received by me, has convinced me that the public mind is thoughtful upon the 
subjects therein considered. 

Subsequent events have not only confirmed me in the correctness of the arguments therein 
urged, but a further discussion of the topics has seemed called for. 

It is with this view that I submit the following for consideration. 



OUR FOREIGN COMMERCE. 

According to the report of the Secretary of the Treas- 
ury for the fiscal year ending June 30th, 1882, the foreign 
commerce of the country has not improved on that of the 
preceding year ; but, on the contrary, has fallen behind. 
As yet Congress has taken no action looking to a change 
in this order of things, except to appoint a committee 
to inquire into the cause of the decline of the foreign 
commerce of the country. The cause, or causes, of such 
decline may be stated in a single sentence: Govern- 
ment has imposed unnecessary restrictions and burdens 
on the foreign shipping of the country, and a heavy pro- 
tective tariff on all imported materials used in the build- 
ing and equipment of ships constructed for the purpose 
of engaging in the foreign carrying ti'ade. Had these 
restrictions and burdens been removed sixteen years ago, 
and a drawback allowed equal to the amount of du- 
ties paid on all materials and equipments entering into 
the construction and equipment of ships built for the pur- 
pose of engaging in the foreign carrying trade, it is not 
unreasonable to suppose that the foreign commerce of the 
country carried in American ships would now be in a 
satisfactory condition. 

In 1866 I submitted a proposition covering the above 
provisions to the late Senator Fessendeu, chairman of the 
Committee of Finance. He regarded it with favor, and 



requested me to present the same to the late Senator 
Chandler, then chairman of the Committee on Commerce, 
which was done, and I had several interviews with him on 
the subject and strongly urged its importance. But the old 
war Senator was inexorable ; he would not favor anything 
of the kind, but replied, "Let those who want to engage in 
building ships to enter the foreign carrying trade do so 
and take their chances." He would grant no special favors 
to any one. It was urged before him that under such a 
ruling he would compel American shippers to build or buy 
ships in a dear market to compete with those constructed or 
bought in a cheap market; and that he would never live 
to see the day when the foreign commerce of the country 
will be restored to its former magnitude under existing 
rules and regulations. The result has proved the correct- 
ness of the argument. The foreign commerce of the 
country has year by year continued to decline since that 
time. In the mean time England has taken advan- 
tage of our letiiargy and has increased her shipping until 
she now holds 52 per cent, of the foreign carrying trade 
of the world, while the United States holds less than 16 
per cent, of the foreign commerce of our own country. 

It is reasonable to suppose that England will contest, 
inch by inch, any and every effort this country may now 
make to recover its former position in the foreign carry- 
ing trade. 

Private enterprise cannot successfully compete with so 



('.2^) 



great odds, notwithstanding Government may remove the 
burdens and restrictions complained of. The question 
then arises, shall this country surrender for all time the 
foreign carrying trade to England and other countries, or 
will it make an honest, successful effort to recover and to 
hold its former position? To answer this question in the 
aflBrmative means a great deal, yet it should be so ans- 
wered, whatever the cost may be. 

The first step in this direction should be to remove all 
unnecessary restrictions and burdens now imposed, and 
exempt from municipal and state taxation for a period 
of 20 years all ships engaged in the foreign carrying trade, 
and all that may hereafter be constructed to engage in 
the same trade; also, to provide a drawback on all im- 
ported materials used in the construction and equip- 
ment of such ships equal to the amount of duties paid 
thereon. Or to provide for the payment of a reasonable 
bounty upon the tonnage of the ships, and equipments 
constructed and furnished from domestic products. All 
ships so exempted should be manned by American 
seamen, except where a crew is recruited during a voyage 
out of the country. It has been urged that the Govern- 
ment should provide a bounty on all freight transported 
in American ships to and from American ports; but 
with the advantages conferred, above suggested, this does 
not seem necessary or expedient. 

Relative to mail transportation to foreign countries, I 
would emphasize the suggestions made last March on this 
subject. 

The United States should establish, as soon as practic- 
able, American steam-ship lines for the transportation of 
United States mails to the leading commercial centres of 
the world, said steamships to be commanded and manned 
by American citizens. Conti'acts for such mail service 
should be made for a term of ten, twelve or fifteen years, 
with the lowest responsible bidders, the Government to 
determine the size and class of ships to be so employed, 
and the frequency of said service. An outlay of |15,000,- 
000 or more annually would soon repay the people for all 
moneys so expended in freight rates on all outgoing as 
well as incoming cargoes. As soon as lines shall become 
established for the transportation of mails, the competi- 
tion on freights would secure greatly reduced rates. All 
foreign ships would be compelled to meet the rates made 
by American lines. A small reduction on the outgoing 



and incoming cargoes would mor than make up for all 
moneys paid out for mail transportation and as bounties. 
The value of exports for the fiscal year ending June 
30th, 1881, was $894,118,038; value of imports for the 
same same period, $625,471,442. Total value of imports 
and exports for the peiiod above named, $1,519,589,480. 
A small reduction in freight rates on this merchan- 
dise covered by this vast sum would more than save 
to the country the amount paid out for mail transporta- 
tion to foreign countries. Again, mail transportation once 
established to leading commercial centres in foreign coun- 
tries, would furnish regular and frequent facilities for the 
transportation of merchandise to many points not now 
accessible except through foreign channels. 

One thing may be relied on : England will not furnish 
cheap and regular transportation to American shippers 
on goods shipped to foreign countries to compete with 
English goods. On the contrary, we may expect to meet 
determined hostility to all eflfbrts on our part to put our 
surplus products into foreign markets. 

It may be justly stated that the odds is greatly against 
all manufactured American products seeking a foreign 
market. Of 555 steamships crossing the Atlantic in 1880, 
but four carried the American flag. 

Compare for a moment the foregoing with the follow- 
ing statement: At the close of 1881 there had been con- 
structed 249,590 miles of railroads on the globe. Of this 
104,831 miles were in the United States. There has been 
about 16,000 miles of railroad constructed in the United 
States during the past two years, at a cost of not less than 
$500,000,000. Railroad building has advanced beyond 
the growth and needs of the country. Why should so 
large an amount of capital seek investment in railroads 
and so small an amount seek investment in foreign com- 
merce? Contrast the figures of- inland trade with the foreign 
commerce of the country. Why this great disparity? 
Foreign commerce, under wise regulations and favorable 
conditions, is as profitable as inland commerce. The facts 
are, the legislation of the country has precluded the possi- 
bility of satisfactory returns on capital invested in the for- 
eign carrying trade. American shippers have been com- 
pelled to buy or build their ships in a dear market, and 
to compete wUh ships built and equipped in a cheap 
market. This accounts for the meager number of Ameri- 
can ships engaged in foreign commerce, and the great 
excess of railroad building throughout the country. 



(3) 



Under proper and wise legislation, the great tide of 
capital that has been flowing for all these years into the 
construction of railroads, may be turned in the direction 
of restoring the foreign commerce of the country, and in 
so doing new and broader markets will be opened to 
receive the surplus manufactured as well as agricultural 
products of the country. 

It has been frequently stated that there is no pressing 
demand for foreign markets for our surplus manufactured 
products, and that such suri)lus is very small compared with 
the amount produced. While this may in a measure be 
true down to the present time, yet it cannot hold true long 
from the very nature of things. In 1873 the markets of 
this country were greatly overstocked with every class of 
manufactured products. With the great commercial col- 
lapse came enforced idleness in large proportions for a 
period of six years. During this time the surplus products 
of the country became exhausted. We have now had a 
period of continuous prosperity for three years. The 
power of production has not only met the current demand 
for consumption, but the markets have become ovei'stocked 
to nearly the same extent that they were in 1873. The 
productive power continues to increase more rapidly than 
does the consumption. Therefore it must be apparent to 
every reflective mind that there must soon be found for- 
eign markets for a large surplus product of the country, 
or there will soon follow another revulsion and enforced 
idleness of large and dangerous proportions. To avert 
this condition of things no time should be lost in restoring 
as rapidly as may be the foreign commerce of the coun- 
try, and opening mail transportation to the leading com- 
mercial centres of the world, paying attention first to the 
near by neutral markets of Mexico, Central and South 
America. The importations of these countries in 1880 
were about $634,000,000. Of this sum the United States 
furnished less than $120,000,000. 

The waste that comes to idle factories, and the loss of 
time by enforced idleness, and the consequent consump- 
tion of previous earnings, the anxiety, privation and 
suffering that follow in the wake of a revulsion like that 
of 1873 are fresh in the minds of the people, and no eflbrt 
should be spared to avert the return of that condition of 
things. 

OUR NAVY AND COAST DEFENCES. 

Every lover and well-wisher of his country must de- 
plore not only the condition of the foreign commerce of 
the country, but also that of the Navy. 



It is proper here to ask, What is the real condition of 
the Navy? Here we have it, just from the lips of the living 
oracles: 

Senator Hale, of Maine, commenting upon the naval 
appropriation bill, June 27th, 1882, stated that the United 
States had at that time 39 steam vessels in active service, 
of all grades and kinds^ and over 1,400 commissioned offi- 
cers. That the British navy, with 341 steam vessels in 
active service, had between 2,600 and 2,700 line officers in 
commission. The whole number of vessels upon the regis- 
ter at the date above named was 146, of which 39 were in 
active service. But few of the remainder can be made fit 
for active service. Possibly 65, all told, could be repaired 
and made fit for duty. 

From the foregoing statement it will be seen, that 
while the number of commissioned naval officers is not 
excessive, the number of sea-worthy ships is far too small. 

Notwithstanding there has been expended on the navy 
nearly $300,000,000 since March 4th, 1869, it is not now 
worthy the name it bears. That there has been great 
waste and unwarranted profligacy in the expenditures of 
public moneys in connection with this branch of the 
public service no one doubts; 'but this should be no bar- 
rier to creating and maintaining an adequate navy. All 
the country can now do is to accept the deep humiliation 
the mal-administration of the past has brought upon it, 
and to go forward and provide, as best it may, against a 
repetition of the same. 

To create a navy equal in efficiency and power to that 
of England or France is no small undertaking ; yet can 
j^his country afford to be content with less ? Past experi- 
ence should teach the people that too much party and too 
much politics in the management of naval affairs is not 
conducive to efficiency or economy. The only safe way is 
to take the construction and equipment of a navy out of 
politics, and place it in the hands of a uon-partizan com- 
mission. The work of providing coast defences could 
wisely be placed under the care and supervision of the 
same. 

A commission composed of eight competent, respon- 
sible and reliable men — men above suspicion, in whom 
the Government and the people would place full confi- 
dence, should be created during the present session of 
Congress. This commission should be composed of six 
competent, experienced business men, one competent naval 



(4) 



engineer, and one competent army engineer. Adequate 
appropriations should also be made during the present 
session to enable the commission to commence operations 
at once. First, to put in order ready for active service 
whatever there is of the naval skeleton we now have that 
is worth putting in order; also, to commence the construc- 
tion of such other ships of war and coast defences as are 
most required. 

To provide adequate coast defences and an adequate 
navy will require ten or twelve years, and will cost from 
$300,000,000 to $400,000,000. At first thought this may 
seem an extravagant proposition ; but let us consider what 
this country has at stake. With the navy in its present con- 
dition the United States would not dare to exchange shots 
with the pettiest little warlike kingdom on the globe, and 
much less with a first-class power. To do so would be 
to jeopardize the safety of every commercial citj' on the 
coast, from Portland, to Galveston, and also on the Pacific 
coast. 

How long would it take a first-class steel clad man-of- 
war to destroy $300,000,000 or $500,000,000 <.f property in 
the city of Boston, New York or Philadelphia ? The prop- 
erty, once destroyed for lack of sufficient protection on 
the part of the Government, the Government must assume 
the responsibility and pay the damagos, whatever they 
may be. It then becomes a matter of deep Interest to 
every citizen of the United States us to the degree of pro- 
tection the Government furnishes to the sea-boara as well 
as to the shipping interestof the country, whether engaged 
in foreign commerce or the coastwise traffic. 

The cost of providing adequate coast defences and an 
adequate navy, and to maintain the same, is simply the 
cost of that class of insurance which the Government alone 
can furnish. It is true, war with this country may be 
very remote; yet it may be very near. One thing is cer- 
tain, Ibis nation cannot afford to remain in its present 
unprotected and helpless condition. There is no excuse 
whatever for remaining so. The country is in a most 
prosperous condition; the treasury is overflowing; the 
people are ready and anxious for the Government to fur- 
nish every needed protection to all commercial and other 
interests at home and abroad; but they want tlie money, 
taken from the people by taxation, wisely and judiciously 
expended. This the people demand. 

Again, much is said about the restoration of our for- 
eign commerce. Capital is timid, and cannot be induced 



to embark in any enterprise where the risk incurred is in 
excess of the margin of profit promised. If the Govern- 
ment would invite capital to engage in foreign commerce, 
it must put itself in a condition to furnish adequate pro- 
tection at home and abroad. If Government would pro- 
mote the exchange of commodities between this and other 
countries, it must furnish adequate protection to its citi- 
zens who go abroad to negotiate such exchanges. This 
cannot be done except through and by the navy. Tiiere- 
fore, common prudence and ordinary foresight demand 
that this nation should possess a navy and coast defences 
that shall not be second to that of any other power on the 
globe. 

THE INTER OCEANIC CANAL. 

The importance of a waterway to connect the two great 
oceans is receiving increased attention year by year. The 
bill now pending before Congress is an evidence of this 
fact. In this bill it is proposed to charter a company 
composed of well-known gentlemen, citizens of the TJnited 
States, with one exception. Section second of said bill 
provides, among other things, that the capital stock of said 
company shall consist of not less than five hurdred thou- 
sand, nor more tlian one million of shares, of one hundred 
dollars each — or, in round numbers, that the capital stock 
may be $100,000,000 — tlie canal to be constructed via San 
Juan River and Lake Nicaragua. 

Section six of said bill provides, among other things, 
that the Government shall guarantee to said company 
three per cent, per annum of net profits on the total cost 
of the canal for a period of twenty years. 

Section nine of said bill provides, among other things, 
that the company may charge an aggregate of two dollars 
and fifty cents per ton weiglit for tonange dues, ton- 
nage, etc. 

On a basis of 50c. per ton it would cost $1,000 to pass 
a ship carrying 2,000 tons tlirough the canal; and at the 
rate named in the bin U would cost $5,000, which seems 
extravagant. Allowing that ten sliips of 2,000 tons 
of freight each should pas? daily through the canal for a 
year of 300 working <lays, at 50c. per ton, the year's earn- 
ings would be $3,000,000 annually. 

When the canal shall have been completed and open 
for business two or three years, doubtless tlie average ton- 
nage passing daily both ways would equal twenty ships 
of 2,000 tons each, which would increase year by year, as 



(5) 



the commerce of the country anrl of the world shall 
develop. 

On the foregoing estimate of the passage cf 29 ships of 
2,000 tons each per diiy, at 50c. per ton the gmss income 
of the canal would be $0,000,000 annually. Hence, under 
the pending bill, should it become a law, with its present 
provisions relative to the rate of charges, the commerce 
would be subject to excessive charges at the discretion or 
pleasure of the company. 

Again, when the stock of the company shall have been 
issued, is there not danger of a majority of it passing under 
the control of the three great Pacific railroads, and thereby 
being operated in the interest of these roads, instead of 
cheap and prompt water transportation ? 

Again, should England or any other foreign power 
desire to control this great waterway, what is there to hin- 
der her or uny other power from putting her or their 
agents into 1 le market and buying up a majority of this 
stock ? The history of all stocks is that they can be bought 
for a price. Should a majority of this stock pass under 
the control < f England or of any other power, the com- 
merce of th'- United States would, to say the least, be at a 
disadvontaj.' ■, and in the event of war this disadvantage 
would becoMe greatly intensified. 

The res; lonsibility to be incurred by the Government 
under the panding bill, and the contingency of excessive 
charges bei ig imposed, and the possibility that the canal 
when com})leted may be operated in the interest of the 
three great Pacific railways, and the further contingency 
that a majority of the stock may pass under the control of 
a foreign power, it would seem, are potent and conclusive 
reasons why the pending bill should not become a law. 
But the same reasons are equally strong and forcible why 
the United States sliould secure the right of way, by pur- 
chase or by ti'eaty stipulations, and enter upon the work 
of constructing said canal, and vigorously to push it for- 
ward to completion in the shortest possible time. But it 
is urged that the Clayton and Bulwer Treaty stands in 
the way. If this be true, (and England so claims), the 
treaty should be abrogated at the earliest practicable mo- 
ment. A treaty that stands in the way, and impedes the 
development of the commerce of ihe Western Hemisphere 
and of the world must give way. England and other 
European powers must concede to the United States the 
right to secure by purchase or by treaty the right of way 
for the construction of an Interoceanic Canal, and the 
right to fortify and control said canal. 



The United States must insist upon these rights for its 
own protection and future welfare. Should England 
object to this Nation securing these rights, or interpose 
obstructions to the construction of the said canal by the 
United States, then it would become the duty of the coun- 
try to enforce its rights at whatever cost. 

But tliere is little danger that England or any other 
power will attempt to interpose forcible obstructions to 
prevent the United States from securing from the Govern- 
ment of Nicaragua whatever territory rights and privileges 
may be necessary to the construction and maintenance of 
said canal. Wise and prudent diplomacy doubtless will 
accomplish an amicable settlement of all disputed points. 
England will not attempt to again measure swords with 
the United States; she has too much at stake. 

Again : the events of one hundred years ago, recorded 
October 19th, 1782,* and September 3d, 1783,t are too fresh 
in the memory of her people. The diplomacy that suc- 
ceeds is that vv 'lich has the backing to enforce reasonable 
and just d' w mds. 

The foi ' jwing cut and extract from the San Francisco 
Journnl d Commerce of June 1st, 1882, prepared by 
Admit;.' Daniel Ammen, U. S. N., will show the route of 
the pr( posed Nicaragua canal; also, approximately, its 
cost, plan of construction and time required to cou- 
striK t it ; 




* Surrender of Cornwallis and his army to Gen. George Washington, 
Oct. 19th, 17S2, at Yorktown, Va. 

t III the cily of Paris, September 3d, 178S, David Hartley for the'King 
of Km'! ;ml, Lenjamin Franklin, John Adams and John Jay for the United 
States^ i ued their names to a treaty of peace between Great Britian and the 
United yt.ites, making the thirteen States forever free and independent. 



«) 



THE NICAKAGUA CANAL, (SUKFACE.) 

It will be observed that the Nicarae:ua Canal is 173^ miles 
long. The section from the Atlantic to the location marked B, 
is a canal proper, 36 miles long, and containing five locks with a 
lift of 22 feet each, by means of which ships reach the summit 
level of navigation. At the point marked B a dam is constructed, 
a favorable location with rock abutments having been selected. 
This dam, made of cut stone, is 2,800 feet long and 49 feet high, 
and elevating the river above it to a hight five feet below the 
level of Lake Nicaragua. The distance from the dam to the lake 
being 52^ miles, the fall is a little less than one inch per mile, 
which will create a current of about one and one-half miles per 
hour, carrying the water, at ordinary lake level, two and a half 
feet deep above the crest of the dam. The river San Juan is 
improved ana straightened before the dam is completed, and thus 
transformed into an estuary or extension of the lake. 

The lake navigation is unimpeded, with an average of nine 
fathoms depth, although the lake is in many places 15 to 20 
fathoms (90 to 120 feet) deep. The water is clear, fresh and 
sweet. The extreme of high and low wa,ter, at commencement 
and end of rainy season, is never over six feet. The area of the 
lake is about 14,000 square miles — about the size of Lake Erie, 
but deeper. 

The Pacific Division, from the laka to the Pacific Ocean, has 
a cut of only 40 feet depth above lake level ; and, like Atlantic 
Division, is fitted with five locks, to overcome the level of tlie 
lake above the ocean. The canal is to be cut 28 feet deep ; the 
locks 600 ft. long, 85 ft. wide, and 30 ft. deep, with iron gates, 
moved by steam power, which will also be used in moving sailing 
ships through the locks. Steam ships will, of course, use their 
own power. These locks are fitted with two lateral openings of 
five feet diameter on each side, (or four openmgs in all), which 
will empty or fill the lock in 1 1 minutes. The locks will be made 
of concrete, faced at the top with heavy hard-wood native timber, 
which will not be injured by the teredo navalis^ the water being 
fresh. The supply of water is a hundred fold the capacity of the 
canal, and always free of floods; consequently under easy control, 
"^he delay of passing each lock should not exceed 30 minutes. 
Jhe rate of speed in canal proper can be placed at four knots per 
hour, and. on the lake and slack water river summit level, approx- 
imately full speed. The time to pass through can thus be calcu- 
lated: Canal navigation, 53 miles at four miles pei- hour, 13^ 
hours; summit navigation, 120 miles at eight miles per hour 15 
hours; passage through 10 locks, at 30 minutes each, five hours; 
total time, 33^ hours, which may be furthe'r reduced by greater 
speed on summit level, which on the lake can as well be 12 or 15 
miles per hour as eight miles. 



The distances are thus divided: 



Mile 



Canal, Atlantic to San Juan Piiver Dam -36 

Slackwater river navigation 52^ 

Lake navigation 68 

Canal, Pacific to Lake Nicaragua 17:^ 



Total length '. . 173i 

The engineer's estimate of cost, (U. S. survey), based upon 
actual close instrumental surveys, is $41,000,000, which with 25 
per cent, contingency added, makes approximately $52,000,000. 
Time for consti'uction four to five years. 

The outside estiinate of the ccst of the canal is $100,- 
000,000, and the time required to construct it five years 
after the right of way shall have been secured. 

The foregoing figures present a broad contrast in the 
cost of the canal and time required to construct it, when 
compared with the figures hitherto presented to the public, 
wherein the cost of the canal has been placed at 1300,000,- 
000 or 1400,000,000, and the time to construct it twenty or 
twenty-five years. Therefore it is safe to estimate that tlie 
total cost of the canal, including harbors at the entrance 
in either ocean and the right of way, would not exceed 
$150,000,000. 

The canal can be made self-supporting at reasonable ton- 
nage rates, and also to yield a revenue to the Government. 
The receipts from tonnage on the Suez canal were over 
$10,000,000 in 1880. The advantages to be derived by 
the construction of this canal are almost incalculable. 

It would shorten the water route between New York 
and San Francisco over 10,000 miles. It would place New 
York within 30 days sail by steam of Yokohama and 
Shanghai, and within 30 days of Melbourne and Sidney, 
Australia — thus, opening up to this country the markets 
of India, China, Japan and the East Indies, whicli contain 
a population of over 750,000,000 people. It would dimin- 
ish the freight rates between New York and San Francisco 
at least one-half, as compared with the present all-rail 
rates. In fact, merchandise could be shipped from Chi- 
cago and all points east of there via New York to San 
Francisco at one-half present rates by rail; also, from St. 
Louis via New Orleans. The time from New York to San 
Francisco by steam need not exceed sixteen days. 

The following tables will show the through rates on 
the Union Pacific and Central Pacific roads established 
January 1st, 1882 : 



(7) 



WEST BOUND THKOUGH RATES PER 100 POUNDS. 



FE05I 



New York 

Pittsljiirgh 

Cincinnatti and Ind'olis-- 

Chicago 

St. Louis 



1st 

OlMS. 


2d 
Class. 


3d 
Class. 


4th 
Class. 


Cl.iss 
A. 


Class 
B. 


Class 
C. 


16 00 


15 00 


14 00 


13 00 


12 50 


$2 00 


^1 75 


5 43 


4 53 


3-62 


2 71 


2 50 


2 00 


1 75 


5 31 


4 25 


3 45 


2 65 


2 39 


2 00 


1 75 


5 00 


4 00 


3 25 


2 50 


2 25 


2 00 


1 75 


4 86 


3 89 


3 15 


2 42 


2 17 


1 92 


1 68 



Class 
D. ' 



$1 50 
1 50 
1 50 
1 50 
1 42 



EAST BOUND THROUGH RATES PER 100 POUNDS. 



TO 



Boston, 

N. Y., Phila. and Ealt'o. 

Buffalo, Pittsburg and 
Cleveland, ,— 

Cincin'ti, Detroit, Toledo 
and Indianapolis,. — 

Cliicago, 

St. Louis, 



1st 
Class. 


2d 
Class. 


3rd 
Class. 


4th 
Class. 


Class 
A. 


Class 
B. 


C1.1SS 
C. 


$6 00 


5 00 


4 00 


$3 00 


.$2 50 


$2 00 


11 75 


6 00 


5 00 


4 00 


3 00 


2 50 


2 00 


1 75 


5 3 


4 53 


3 62 


2 71 


2 50 


2 00 


1 75 


5 31 


4 25 


3 45 


2 65 


2 39 


2 00 


1 75 


5 00 4 00 

1 


3 25 


2 50 


2 25 


2 00 


1 75 


4 86': 3 89 


3 15 


2 42 


2 17 


1 92 


1 68 



Class 
D. 



U 50 
1 50 

1 50 

1 50 
1 50 
1 42 



Local freight for 1881 3,725,424,290 lbs. 

Through freight for 1881 618,658,120 " 

Total freight tonnage 4,344,082,410 " 

Total earnings, including passenger rates, for 

1881 $24,094,100 95 

Operating expenses for 1881 13,859,306 97 

Total net earnings for 1881 «10,234',793 95 

Total a.ssets of the Company, as per inventory 

for 1881 1149,573,225 31 

The road has i-eceived land grants from the Govern- 
ment of 13,235,200 acres. At $2.50 per acre this would be 
$33,088,000. The Government also guaranteed $64,000,000 
of its bonds to aid in the construction of the road. ' 

The North and South Pacific roads have also received 
generous aid from the Government; so, if it should occur 
that by the construction of the Inter-Oceanic Canal the 
freight rates should be somewhat reduced, these compa- 
nies would suffer no injustice at the hands of the Govern- 
ment, which has conferred upon them such magnificent 
benefactions. 



The reduced rates thus secured to the shippers of the 
countrj' by rail and by water, would effect an annual sav- 
ing to the country more than equal to the annual interest 
on the estimated cost of the proposed canal. Add to this 
the other advantages the proposed canal would bring to 
the country, which are almost incalculable, and its early 
construction by the Government should not be a matter 
of doubt. Whereas, should the canal pass under the con- 
trol of the three great Pacific railroads, the advantages 
the people would derive from its construction by the Gov- 
ernment would be irretrievably lost for all time; yet the 
Government's responsibility under the pending bill would 
continue. 

The construction of the Inter-Oceanic Canal would 
have the same regulating influence and power over freight 
rates that the lakes, rivers and canals now have in regu- 
lating freight rates during the season of navigation. The 
Inter-Oceanic Canal would have this advantage: its busi- 
ness would continue throughout the year. The construc- 
tion of this canal would furnish another strong band of union 
between the Eastern and the Western Coasts. It would furnish 
to the people of the Western Coast cheap transporations 
for their surplus cereals and other products to Eastern 
markets. 

It would make this country the great commercial 
center of the world, and would revolutionize the currents 
of the commerce of the world. In short, it would place in 
the hands of this Government the key to the commerce of 
the world/ 

While it may be true that public sentiment is against 
the Government entering upon a great public work of this 
kind, the question may be raised whether such public 
sentiment is well founded ; there are exceptions to all gen- 
eral rules. It is conceded by everybody that this great 
waterway when constructed should be controlled by the 
United States. Under the pending bill the aid of the 
United States is invoked to promote its construction. If it 
is constructed the Government must stand behind it. Why 
should not the Government construct and own and control 
it for the benefit of the commerce of our own people and 
for the benefit of the commerce of the world, and reap the 
advantages to be derived therefrom ? 

A NON-PARTIZAN COMMISSION. 

A commission should be created composed of eight 
competent, reliable, trustworthy men — men above suspicion : 



(8) 



six of whom should be business men of large experience 
and two competent engineers of ample experience; in 
whom the Government and the people could place implicit 
confidence; said commission should consist of men select- 
ed equally from each of the two great political parties — 
thereby making it non-partizan. 

The work of constructing and equipping the canal 
should be placed in the hands of this commission, the gov- 
ernment making the necessary appropriations to carry 
forward the work to successful completion. 

Under the supervision of such a commission there 
would be no jobbery, there would be few mistakes, as there 
is no new or untried principle involved in the construc- 
tion of the canal. 

The prosperous condition of the country and the finan- 
ces of the Government warrant in the highest degree such 
an undertaking on the part of the Government. 

POLYGAMY. 

This question has in a marked degree attracted the 
attention of Congress and the country during the past 
year. 

Congress has legislated upon it but the legislation thus 
far does not strike to the root of the matter. 

The suggestions made in the accompanying paper of 
last March are no less imperative to-day than tliey were 
at that time. 

Tiie legislative power of the Territory of Utah sliould 
be placed in the hands of a Commission of twelve or six- 
teen good, true, and competent men, and if practicable the 
Commission should be non-partizan, and selected equally 
from the two political parties. The experience of the last 
election shows clearly that the Mormons are in the ascend- 
ancy, and therefore cannot be trusted to legislate for tlie 
Territory. 

Government should humanely provide for the divorced 
wives in plural wedlock; also for the children born in 
plural wedlock; to relegate these deluded women and 
these unfortunate children to the charities of the cold 
world would be unchristian and inhuman. 

Let the Government give these poor people — and es- 
pecially the children — a fair chance in the world by prop- 
erly caring for tliem, affording the necessary educational 
facilities to the children. 



IMPROVEMENT OF THE MISSISSIPPI RIVER. 



The criticisms upon the appropriations made by Con- 
gress for the improvement of this great waterway seems 
illtimed and in bad taste. It would seem to be a very 
narrow and shortsighted policy for the Government to do 
less than it has undertaken. 

It is sincerely to be hoped that ihe good works so aus- 
piciously began may be carried forward to successful 
completion. 

PUBLIC SCHOOLS. 

With rare exceptions the Governmental aid to Public 
Schools contemplated in the bill now pending before Con- 
gress meets the approval of the public judgment. 

It is a recognized fact that seventy-five per cent of the 
appropriation contemplated in the pending bill, under its 
provisions will go to the late slaveholding States and 
to the Territories, for the reason that about seventy-five 
per cent, of the illiteracy of the country is found in those 
States and in the Territories according to the last census. 

The number of males in the late slave-holding States 
twenty-one years of age and upwards who could not read 
and write in 1870 and 1880: 



Total.. 



White. 
..2:7,371 



Colored. 
850,032 



White. 
410,.550 



Colored. 
9-I4,424 



Total number of illiterates of votiog age in the late slave-holding States in 1870 1,167,303 

In 1«80 1,3,14,974 

Increase of illiterate voters in the South from 1870 to 1880 187,671 

Increase of illiterate whites of voting age from 1870 to 1880 93,279 

Increase of illiterate colored people of voting age from 1870 to 1880 94,.3t)2 

Total nuniher of males of voting age in the south in 1880 4,1.54,125 

Total number of illiterate males of voting age in the South in 1880 1,354,974 

32.3 per cent, of the voteisin the South are illiterate. 

Of the illiterates 69.7 per cent, are colored and 30.3 are whites. 

The foregoing figures indicate a degree of illiteracy in 
the South that is appalling and dangerous to the future 
welfare and peace of the state. A stronger or a more con- 
clusive argument in favor of the immediate passage of the 

pending bill cannot be furnished. 

• 

Notwithstanding this sad and dark picture, we have 
no words of reproach for the people of the South. On 
the contrary, we4)ity them from the bottom of our heart. 
The present generation cannot be held wholly responsible 
for the present condition of things. They inherited the 
institution of slavery from their fore-fathers, with all its 
attendant ignorance and vices. 



(9) 



The condition of the colored people, as well as that of 
a large numberof the whites, at the close of the late war, 
was most pitiable and distressing. Four millions of slaves 
had been emancipated and set free, with no previous 
training to prepare them for citizenship. They had no 
knowledge of the science of life, or how to provide for 
themselves. They were not even organized into families. 
Whatever family ties there were, were but slender cords. 
They were without homes or visible means of support. 
At the close of the war a large proportion of the white 
population were but little better off than the colored popu- 
lation. They had been impoverished by the prolonged 
struggle. 

Pen cannot picture the terribly sad and deplorable 
condition of the people of the South at that time. The 
enfranchisement of the colored people may have been 
just, under the circumstances, but the white population 
could not accept it as wise or expedien'. The result has 
been to produce intense conflict, tun .oil and bloodshed. 
The wonder is, not that such should have been the case, 
but that there should have been no more of it, all things 
considered. 

A better day is now dawning upon the South and upon 
the couatry. For this the whole nation should give heart- 
felt thanks and take courage. 

The duty of the hour is to provide, so far as possible, 
for the future welfare and stability of our free institutions. 
In no way can this be done under our form and system of 
government excepL t<» educate the peopltf, whereby every 
ballot may be inlelligeutly cast and honestly counted. 
Education is the great bulwark of civil liberty. With it 
free institutions will endure ; without it they will crumble 
and go to decay. 

To-day the South stands as a port and parcel of this 
glorious Republic. For this every loyal and patriotic 
lieart North and South feels truly thankful. We are one 
Nation and family. Therefore, as such let each and every 
portion of our country extend to the other portions that 
fraternal friendship and support that sliall be most con- 
ducive to the welfare aad prosperity of the whole. 

The appropriation of $10,000,000 annually, contem- 
plated in the pending bill, does not seem to be adequate 
to meet the demands of the present emergency. $15,- 
000,000 is no more than is absolutely needed to furnish 
educational facilities in the States and Territories that 



are now in pressing need. The country is able to fur- 
nish school facilities to every child of school age; to do 
less is an injustice to the rising generation. Give the 
children of the South, as well as those of the North, a fair 
chance in life. 



REVISION OF THE TARIFF AND INTERNAL 
REVENUE LAWS. 

The work of the Tariff Commission and the reductions 
proposed seem to meet general approval. The ordinary 
revenues for the fiscal year ending June 30th, 1882, were : 

From Customs 1220,410,730 25 

From Distilled Spirits 69,873,408 18 

From Tobacco in all forms 47,391,988 91 

From Fermented Liquors, ale, beer, etc 16,153,920 42 

From Banks and Bankers 5,253,458 47 

From Bank Checks 2,318,455 14. 

From Friction Matches 3,272,258 00 

From Patent Medicines, Cosmetics, etc 1,978,395 56 

From Penalties 199,830 04 

From miscellaneous sources 36,672,805 31 

Total receipts from all sources $403,525,250 28 

Total ordinary expenditures 257,981,439 57 

Surplus revenues $145,543,810 71 

On the basis of receipts and expenditures of the fiscal 
year ending June SOtli, 1882, should there be a reduction 
of 30 per cent, in the tariff duties under tiie pending 
revision, tliere would remain a surplus of $69,420,591.64, 
estimating the same amount of increase from internal 
revenue sources the present fiscal year that there was the 
last fiscal year, which was $11,293,361.42. The total sur- 
plus revenues would be $80,711,953.06. 

Doubtless the arreas of pensions will require $40,- 
000,000 of the surplus revenues during the present fiscal 
year ; but after tlie present year the ordinary expenditures 
should not exceed those of the last fiscal year. In the fore- 
going statement there is no provision to meet the require- 
ments of the sinking fund. 

It would now seem wise and expedient to repeal the 
law creating the sinking fund. The repeal of this law at 
the present time could not be construed to be an a<?t of 
repudiation or of bad faith. 

Any bondholder can receive the money for hiS bonds 
by presenting them for payment. This condition of things 



(10) 



should be satisfactory to any creditor of the Government, 
as the Government may easily provide for the issue of 
an equal amount of bonds. 

The interest bearing funded debt of the United States 
was on November 1st, 1882, $1,418,080,200. 

A further reduction of the bonded debt does not seem 
desirable. It would seem wise to carry it as a basis of the 
National Banking System; its extinction would require the 
substitution of otl:er securities or the abolition of the Na- 
tional Banking System. Under no other class of securi- 
ties can the system be as stable as it now is. 

The National Banking System as now organized and 
conducted is the best system of banking ever enjoyed by 
any people. To change it in any way whereby it would 
be less stable and less reliable would be a great financial 
calamity. By carrying the present bonded indebtedness 
jt will furnish a reliable basis for the necessary increase 
of banking facilities for generations to come. 

The interest thereon is the price paid to insure to the 
people a perfectly reliable, sound and stable currency, a 
currency evei'y dollar of which is perfectly good in every 
part of the United States. 

The amount of annual interest to be paid thereon is 
cheap enough when compared with the benefits to be de- 
rived therefrom. The great financial prosperity of the 
Country is due in a marked degree to the great success of 
the national banking system. 

Without a sound currency and a sound financial 
system general distrust and disorder would pervade all 
channels of business. 

PROSPERITY OF THE COUNTRY. 

The following statements will show some of the evi- 
dences of the great prosperity of the country : 

The manufactured products of the country now reacii 
$6,000,000,000 annually and the agricultural products 
about as much more. Prominent among these is the yield 
of wheat in 1882, 520,000,000 bushels; of corn 1,625,000,- 
000 bushels, of cotton 6,700,000 bales of 460 pounds each 
and a proportionately large yield in all the other depart- 
ments of agriculture except fruit. 

PROGRESS. 

A few comparisons will suflBce to show the great pro- 
gress of the country . 



In September, 1807, Robert Fulton propelled the first 
boat by steam on the Hudson river; about the same time 
John Fitch accomplished a like feat on the Delaware 
river. From these small beginnings, only seventy-five 
years ago, have been developed the great commerce of the 
world in steamships, also the great naval ships of the 
world are propelled in like manner by steam. 

In 1831 tliere had been constructed in the United 
States about 32 miles of railroads. From this small be- 
ginning there have been constructed within the United 
States in fifty-one years over 116,000 miles of railroads at 
a cost of over $6,500,000,000 — an amount of mileage almost 
equal to the total mileage constructed in all other countries 
in the world. Had the foreign commerce of the country 
kept pace with our inland commerce, the United States 
would now stand at the head in the carrying trade of the 
world. Wise legislation may soon place it there. 

THE NATION'S GREAT OPPORTUNITY. 

The Government should no;v adopt a .broad and 
comprehensive policy, and by wise legislation provide for 
the recovery of our foreign commerce, for the transporta- 
tion of the United States mails in American steamships 
to the leading commercial centers of the world. It should 
also provide adequate coast defences and an adequate 
navy, also for the construction of the Inter-Oceanic Canal, 
and aid the public schools as before suggested. The 
annual expenditure, required for these purposes may be 
briefly stated as follows, viz : 

Foreign Commerce and Mail Service '. $15,000,000 

Construction of a Navy and Coast Defence 25,000,000 

Construction of the Inter-Oceanic Canal 25,000,000 

Public Schools 15,000,000 

Total $80,000,000 

The prosperity of the country, its sound financial con- 
dition, and the condition of its revenues, warrant the 
Government in entering upon these great undertakings 
and carrying them forward to successful completion. 

The proposed reduction in the revenues from the tariff , 
is all that should now be made. 

No one asks for the repeal of the tax on whisky, beer 
or tobacco. Bank checks and bank deposits are proper, 
objects of taxation. These taxes are paid by a well-to-do 
class who have money to deposit, and are not oppressive 



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to any ono. The repeal of the tax on patent medicines, 
perfuqiery, etc., will not reduce the price to the consumer 
one cent. Possibly the tax on bank capital should be 
repealed, as it is subject to municipal and state taxation, 
which usually amounts to about two per cent, per annum. 
The tax on iuatches is reliable, dof s not cost the Govern- 
ment one dollar for collection, (except the furnishing of 
the stamps), does not require an extra clerk, yields quite 
an amount of revenue, and oppresses no one, being about 
six cents per capita per annum. 

It would seem wise and prudent to delay any reduc- 
tion of the internal revenue until Congress and the coun- 
try shall have time to consider the important questions 
herein discussed. These taxes once repealed precludes" 
the possibility of the Government entering upon these 
undertakings and carrying them forward to successful 
completion, for taxes once removed cannot easily be re- 
stored. 



ULTIMATE FREE TRADE INDISPENSIBLE TO 

THE PROSPERITY OF THE COUNTRY 

AND THE WELFARE OF LABOR. 

It is claimed that protection secures high prices to 
labor, and that free tnide will bring low prices to labor. 
We will accept these two propositions as correct; but pro- 
tection may not always furnish to labor continuous em- 
ploj'ment, whereas free trade may. 

To illustrate oui point, we will take tlie article of iron 
from the ore-bed, and trace it through its transformations 
to its. resting place in the finished commodity, article or 
machine, under the two systems. The royalty on the ore 
in the bed we will place at 60c. per ton. Under protec- 
tion the ore is mined with high priced labor; it is trans- 
ported to the furnaces with high priced labor. The lime- 
stone is quarried and transported to the furnace with high 
pnced labor. The royalty on the coal in the mine we will 
place at 20c. per ton. The coal is mined and transported 
to the furnace with high priced labor. These commodi- 
ties are brought together in tlie furnace and the fires 
lighted with high priced labor. The iron as it flows from 
the furnace to the molds becomes high priced pig-iron. 
From the condition of high priced pig-iron it is trans- 
formed with high priced labor into merchant bar-iron, 
horse-shoes, nails, agricultural implements of every class 
and kind; into wagons, carriage trimm ugs, house finish- 



ings, into railroad iron, railroad cars, locomotives and 
bridges; into machinery for flour-mills, saw-mills, woolen 
mills, paper mills, printing presses, merchant sliips, and 
ships of war, etc. The iron ore being thus transformed 
with high priced labor, the commodities or machines so 
produced are high priced. 

On the other hand, let the ore and the coal be mined 
and transported with low priced labor, also the limestone 
quarried and transported with low priced labor, and these 
commodities brouglit together in tiie furnace, and the fires 
lighted with low priced labor, the iron as it flows from the 
furnace to the molds becomes low priced pig-iron. Trans- 
form this low priced pig-iron, with low priced labor, 
into merchant bar iron, horse-shoes, nails, agricultural 
implements of every class and kind ; into wagons, car- 
riage trimmings, house finisliings; into railroad iron, 
railroad cars, locomotives and bridges; into flour-mill 
machinery, machinery lor saw-mills, woolen mills, cotton 
mills, paper mills, printing presses, merchant steam ships, 
and sliips of war, etc. The ore being thus transformed 
through all its stages with low priced labor, produces low 
priced commodities, low priced machinery, and low priced 
ships, etc. 

Applying the same principle under protection and 
high priced labor to all commodities and productions of 
every class, kind and nature, we have as an inevitable 
result an era of high prices. When this big!) priced labor 
goes into tlie market to buy the njcessaries and comforts 
or luxuries of life, it must buy high priced goods ; from this 
there is no escape. 

On the other hand, where all commodities and produc- 
tions of every class and kind are produced with low priced, 
labor, when this low priced labor goes into the market to 
purchase the necessaries and comforts or luxuries of life, 
it buys in a low priced market. 

The purchasing power of the dollar earned on a plane 
of low priced labor is increci'^ed in the same ratio, or pro- 
portion, as the price of labor has been decreased. 

Thus it will be seen that on a plane of low prices that 
shall apply to everything in the realm of production, (the 
price of labor corresponding thereto), the labor of the 
country would not be deprived of any necessaries, com- 
forts or luxuries of life that would be enjoyed by it on 
a plane of high prices for labor, and on a corresponding 
plane of high prices for all commodities known to the 
realm of production. The cost price of all productions is 



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governed by the price of labor put thereon ; and when 
applied to all productions, it establishes the cost price 
thereof. 

The cost of a ton of ore in the bed is but a fraction of 
the cost of a ton of finished machinery. The same prin- 
ciple applies to the whole catalogue of productions. The 
price of labor governs the cost of all products. With- 
out labor there is no production, no accumulation, or pro- 
gress. 

Under protection labor commands a high price. High 
priced labor produces high priced goods, the high priced 
goods so produced commands the home market, which is 
a protected market. 

The protective system works very well so long as the 
home demand is equal to the productive power oi the 
country. It has served a great and good purpose in this 
country. Under it the manufacturing industries <. 1 the 
country have developed to magnificent proportions, but 
they are no longer in a condition of infancy. I liave been 
a protectionist all my life, and am still in favor of reason- 
able, fair and moderate protection while the conditions of 
trade and commerce will warrant such jnoderate protec- 
tion. But the productive power of the country has well 
nigh outgrown the home market, as we have heretofore 
stated. 

Under protection and high priced labor the manufac- 
tured products are high priced. AVhen production is in 
excess of the demands of the home market, the surplus 
must be disposed of in foreign markets. In tlie foreign 
markets these goods produced with high priced labor, 
which makes them high priced goods, come in competi- 
tion with the same class of goods prorluced in a country 
where the labor is low priced, therefore this surplus cannot 
be sold in foreign market except at a loss to the nan- 
ufacturer. 

What will be the outcome of this condition of tlii.igs? 
The inevitable result is, that when the home murket has 
become overstocked with manufactured goo'I- furnaces, fac- 
tories and mills must shut down and wait 'in'.i the market 
shall have become bare of goods, then comes couimrrcial 
revulsion, financial disorder, incalculable waste and losses. 
But what becomes of the high priced labor under protec- 
tion? It is thrown out of employment, it then begins to 
consume the savings accumulated during the m^tre pros- 
perous years; when the savings are thus consumed, 
what then? privation, suffering, want and woe are upon the 



people, untold anguish and sorrow pictured upon the face 
of every father and mother as they look around upon their 
half-clad, shivering, and starving children. The father 
resolves to go in search of employment at any price. He 
travels all day; no employment is found, every place is 
full; he returns home at night empty hancleti; no work, 
no food for his starving ciiildren and his sorrowing wife. 
Day after day he goes foith and returns with the same 
result. He becomes desjjerate. Something is wrong 
somewhere. He begins to consult with his neighbors that 
are in a similar condition. They come to the conclusion 
that the Gcv^rnniuit has gone wrong — and wisely too; the 
Governmi n( / as gone wrong, and there must be a change. 
This may Hi.'. :n an overdrawn picture, but it is not. This 
country jia.-'ed through all of this, and more, from 1873 
to 1879. When the cloud lifted in 1879 wages were 
40 per cent, lower than they are at the present time. 
Whenever the productive power of the country shall 
exceed the demands of the home market, the only remedy 
for a con^lition of things just described is to reduce the 
cost of production to a point where Lho svirplus products 
may be put upon foreign markets at a margin of profit. 
This involves a corresponding reduction in the price of 
labor ; but it may be said that such reduction is a hard- 
ship imposed upon labor. Not at all. The cost of all com- 
moraties in the whole catalop.ue of productions will be 
correspondingly reJ;uced. The dollar eai'ued by labor at 
the reduced price buys proportionately the same amount 
of necessaries, comforts and luxuries as was purchased 
with the dollar earned under protection and high priced 
labor; therefore lattor sutlers no oppression under a system 
of reduced prices and free trade, but there is a market 
for the products of labor. If the home market is 
supplied a foreign market is ready to receive the 
surplus at a margin of profit to the manufacturer. 
Thereby labor finds constant and regular employment; 
the necessurios and comforts of life are purchased in a 
correspondingly cheaper iv.arket. The children are 
equally well sheltered, warmed, well clad and well fed, 
and the father and mother equally as happy and contented 
as during liie palmiest days of protection and high 
priced labor, with this advantage . under free trade the 
world is the market foi the products of their labor, and 
not only this, but the .savings laid aside will accumulate 
uJitil old UL^e shall overtake them. 

Bui why not continue the protective system and let 

) rices adjust t]icni?elves to the markets of the world. To 

his proposition w-j 'luswer : Imported products enter into 



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vast lines of manufactured goods, and the manufacturer 
using these imported godds subject to tariff duties, would 
be at a disadvantage in llie markets of the world. 

Let us now briefly examine the present condition of 
the manufacturing industries of the country. 

The iron and steel product of the country in 1872 was 
about 2,200,000 tons. In 1881 this production had reached 
4,640,000 tons. Every manufacturer of iron and steel well 
understands that the productive power of the country in 
these articles has outgrown the home market, but under 
the protective system the surplus product cannot be put 
into foreign markets except at a loss to the manufacturer. 

The productive power of cotton gbods, aftd of boots and 
shoes, has outgrown the home market; this is true also of 
many other classes of manufactures. 

From 1872 to 1881 the product of iron and steel more 
than doubled. Wliat is there to hinder a like increase in 
the next ten years, except the want of a remunerative 
market ? What is there to hinder a like increase in all other 
manufactured products in the next ten years except the 
want of remunerative markets? Nothing whatever. The 
country possesses the latent power and ability to accom- 
plish this, but it would be extreme folly so to do until we 
can command foreign markets for the surplus products. 

Under the pending revision and reduction of the tariff 
and under advantageous commercial treaties with Mexico 
and the Central American States, and also with the South 
American States, we may enter those near-by neutral mar- 
kets and successfully compete with other foreign pro- 
ducers. We may obtain a foothold in other foreign mar- 
kets. But little progress can be made until a further 
reduction in the tariff is made than is now contemplated 
under the pending revision. Six or eight years later a 
further reduction will be demanded, and soon thereafter 
there will come a strong demand for the abolition of the 
entire protective system. This demand may come much 
sooner than is now contemplated, but it is sure to come. 

The protective tariff once abolished, the Government 
must rely upon the internal revenues of the country for its 
support. Therefore, it would seem unwise and inexpedient 
to abolish any portion of these taxes at the present time. 

It has hitherto been urged that this country could not 
successfully compete with foreign manufacturers for the 
want of cheap capital; but this objection cannot now be 
sustained. We now have an abundance of cheap capital, 



all that can be used in any legitimate business — the cir- 
culating medium being over $1,500,000,000, including gold 
and silver certificates — an amount per capita not equaled 
by any other nation. 

Considering the great prosperity of the country, its 
unbounded resources, and its almost unlimited powers of 
production, the expenditure of $80,000,000 annually for a 
term of ten or twelve years for the purpose of entering 
upon and carrying forward these undertakings, seems a 
most reasonable and judicious expenditure of money 
These undertakings once an accomplished fact, this Nation 
will lead the world in commerce, in agriculture, in manu- 
factures, and in education. 

Considering the great advantages to be derived, the 
outlay per capita for our population is but small, being 
but $1.50 per annum. The money so collected and so 
expended returns at once to the channels of trade. No 
financial disturbance is occasioned by hoarding large 
sums in the treasury. A vast amount of labor would be 
employed in carrying forward these undertakings, and a 
home market for large quantities of agricultural, manu- 
factured and other products created. 

The opportunities now presented to this Nation are 
unspeakably grand and of greatest moment — such as may 
never occur again. To allow them to pass unimproved 
would be to reflect upon the statesmanship, enterprise and 
patriotism of the present generation. To improve them is 
to stimulate and electrify the pulse of the Nation, and 
to enter upon a most prosperous and glorious future. 

PRODUCTION, POPULATION AND PROGRESS. 

The productive power of 55,000,000 of people, aided by 
the combined labor-saving machinery now in use, is well 
nigh beyond computation. But what will it be with our 
population increased to 100,000,000, which will be the case 
before the close of the next decade, and this vast popula- 
tion being aided by a corresponding increase of labor- 
saving machinery and supplemented by the wonderfully 
inventive genius of the age? It would not seem to be an 
over-estimate to place it at double the ordinary consump'- 
tion of the country. Where will a market be found for this 
vast surplus? 

The population of the earth is about 1,450,000,000 
More than one-half of this vast population is not half shel- 
tered, 'half clothed, or hall fed, and is living a life hardly 



(14) 

worth living. Commerce, supplemented by the labors of | 
the Christian missionary, will elevate these millions to a 
plane of civilization that will compare favorably with the 
civilization of our own people at the present time. Thus 
enlightened, their wants will multiply, and their produc- 
tive power will increase in proportion as civilization ad- 
vances, which will place them in a condition to buy and 
sell, and exchange commodities. In this manner a mar- 
ket will be found for all the surplus products this Nation 
is likely to have, be its power of production ever so large 

It is not too much to suppose that Mexico, Central and 
South America, Africa, India and China will ultimately 
become as fully supplied with railroads as our own coun- 
try is at the present time, and that ultimately all the arts 
and advantages of a high order of Christian civilization 
will be enjoyed by them. 

These developments may be of slow growth, but they 
are sure to come, and will come as rapidly as the more 
highly favored shall be able to meet the demands of 
advancing civilization in all those countries. 

It would seem only reasonable for this Nation to pre- 
pare itself to meet the demands the advancing civilization 
of the world is sure to make upon it, and to reap the boun- 
tiful harvest in store for it. 

To do this an extended commerce carried on in 
American ships, regular and frequent mail service to the 
leading commercial centers of the world, and a navy 
adequate to protect our commerce and our people at home 
and abroad, are indispensible to the future growth and 
welfare of the country. 

The construction of the Inter-Oceanic Canal will revo- 
lutionize the trade and commerce of the world, and will 
transfer the great monied center and commercial power 
from London to New York and San Francisco. 

The present generation owes it to coming generations 
to provide for the education of the masses to the end that 
free Government and free Institutions shall endure. 



At no period in the history of this Nation have such 
wonderful opportunities been presented. The question 
is: Has this generation the wisdom and the enterprise to 
wisely improve them and thereby achieve continued 
prosperity and confer untold blessings upon the human 
race. 

To neglect to improve these opportunities will be to 
dwarf the industries, energies and enterprise of the Nation, and 
to bring upon the country at an early day commercial revul- 
eion, bankruptcy and financial ruin, and enforced idleness 
of large and dangerous proportions, with all the attendant 
privations, suffering and sorrow that are sure to fall upon 
the laboring classes, during a period of financial disaster. 

Capital, for its own protection as well as for its own 
profit, must employ the labor of the country. Labor so 
employed should share equitably the rewards of labor. 

If Congress and the country could but rise to a clear 
comprehension of the magnitude of the benefits to be 
derived from entering upon these undertakings and carry- 
ing them forward to successful completion, there would 
be no unnecesary delay in entering upon them, and no 
lack of money to carry them forward to successful comple- 
tion. 

To reduce the revenues of the Government at the 
present time to a point that would preclude the posssi- 
bility of the Government entering upon these undertak- 
ings is to cast a dark shadow upon the future prosperity 
and welfare of the country. Therefore there should be no 
reduction of the Internal Revenue until Congress and the 
country shall have time to consider these great and 
important and far reaching questions. 



DAVID. M. RICHARDSON. 



Detroit, Mich., January 10, 1883. 



: 9\\' 



< 



"^SUPPLEMENT No. 2 

TO PAPER PEEPAEED MAEOH 28, 1882. 



--<?•> 
.<>.'■ 



In March, 1882, feeling deeply the importance of a certain course of National policy, the undersigned 
distributed a paper containing a discussion of some public questions; and again in January, 1883, being 
reassured of the correctness of the positions originally taken, a Supplement was prepared and distributed. 

Since then Congress acd the country have taken many stops forward — some in the direction 
originally advocated. Upon some of the other questions bills are now pending before Congress, and 
the subjects heretofore considered still occupy the attention of thoughtful men of the country. 

Sincerely feeling the importance to our future National prosperity of the policy heretofore pre- 
sented, I am prompted to venture a few additional suggestions which will be stated as briefly as may be. 



During the reign of King Edward VI., in 1553, the 
"Lord High Treasurer of England and other grave and 
wise citizens of London," having at heart the welfare of 
their country, and grieving at the decay of trade, formed 
a company of " Merchant Adventurers, for the discovery 
of lands, territories, isles, and seigneuries unknown and 
not by the seas and navigations commonly frequented." 
Six thousand pounds sterling were collected and three 
ships were bought, put in order, and placed under the 
command of Sir Hugh Willoughby. Violent gales over- 
took the squadron and the ships became separated. Rich- 
ard Chancellor, in charge of the "Bouaventure," lost sight 
of his comimnions and succeeded in doubling the Holy 
Cape. An unknown sea lay before him; as he ploughed 
its stormy waters the mouth of a river and a monastery 
came in sight; he landed, and learned from some fisher- 
men that the river was the Northern Dvina, and that he 
was in the domains of the Great Tsar of Moscow. 

The Chancellor left his ship near the monastery of St. 
Michael and made the journey to Moscow, where he deliv- 
ered to Ivan the Terrible, the letter written in Latin by 
Edward VI., addressed vaguely "to all the kings and 
princes and lords, to all the judges of the earth and cap- 
tains thereof, to any who possesses high authority in all 
the regions under the universal heaven," asking them to 
let his subjects have free pass and to entreat them with 
humanity and kindness. 

Ivan allowed the Englishmen to buy and sell without 
let or hindrance. While Richard was at Moscow some 



Laplanders brought word that they had found, on the 
west coast of the White Sea, two shijjs at anchor in a bay, 
and the crew of eighty-three men all dead. It was the 
missing squadron; Sir Hugh Willoughby was seated at 
his table with his journal before him. He had perished 
of cold. 

The events above chronicled were the beginning of 
England's aggressive policy in trade and commerce, which 
she has ]:»ersistently followed for more than three hundred 
and thirty years. To-day her flag floats upon all the free 
and navigable waters of the globe. Her manufactured 
products are found everywhere in the markets of the world. 
Wherever she has been denied free access to those markets 
her powerful navy has been brought into requisition, and 
thereby she has compelled submission. 

Had England, during all these centuries, depended 
upon the ships of foreign nations to carry her wares to 
market, and had she been substantially without a navy, 
her commerce would have been restricted to very small 
proportions, and her possessions limited in like manner. 
England's aggressive policy has been a great blessing, not 
only to lier own people, but to civilization throughout the 
world. The policy of England in trade and commerce 
should teach the people of this country a most valuable 
lesson. We have no complaint to make against this ag- 
gressive }3olicy, but would say to the people of this country 
let not the lessons of England's commercial prosperity be 
lost upon us. 



C^) 



FOREIGN COMMERCE. 

There are now two bills before Congress which contem- 
plate legislation looking to the repeal of onerous taxes on 
the shipping of the country, and for the admission of 
ship-building material free of duty, and for the purchase 
of foreign ships and their admission, free of dutj^, and the 
foreign ships so purchased to receive American register. 
A broad and comprehensive policy can alone recover the 
former position occupied by this country in the foreign 
carrying trade. The nation must apply itself to the task 
of building up a merchant marine of its own'at whatever 
necessary cost. 

The government must make it possible for American 
capital to put ships afloat built of American material and 
constructed by American labor, at a cost not to exceed that of 
the same class of ships built upon the Clyde. To illustrate : a 
steam ship of 2,000 tons, built upon the Clyde, fully equipped 
and ready for service, will cost about $300,000. The same 
class of ships built of American material and constructed 
by American labor will cost, fully equipped and ready for 
service, about $400,000. The American capitalist who de- 
sires to engage in the building of ships to engage in the 
foreign carrying trade is met at the outset with the odds 
against him of 33J per cent, in the cost of his ship. He 
must compete in the same markets at home and abroad 
for his cargoes, and must accept the same rates for freight 
that is received by the owner of the foreign ship, or his 
ship will rot at the docks. American capital will not em- 
bark in the building of ships to engage in the foreign car- 
rying trade with this odds against it. 

But if the governmeat will provide that American ship 
builders may receive a tonnage bounty that shall equal 
the excess of cost of the American ship over the ship built 
upon the Clyde, thereby placing American capital on an 
equal footing with foreign capital, and with the onerous 
taxes abolished, there would be an abundance of American 
capital ready to embark in the building of shijjs to engage 
in foreign commerce. 

On the basis above stated $5,000,000 expended in ton- 
nage bounty would jjut afloat fifty 2,000 ton ships. $5,- 
000,000 more expended in like manner would put twenty- 
five 4,000 ton ships afloat or the equivalent in tonnage. 

Twenty million dollars expended in tonnage bounty on 
this basis would put afloat fifty 4,000 ton ships and one 
hundred 2,000 ton ships, or the equivalent in tonnage. 
With this amount of shipping owned by American cajiital 
competition would be sharp and the American shipping 



interests would establish the freight rates on all out-going 
and much of the in-coming freights. Should the compe- 
tition thus inaugurated reduce the freight rates ten per 
cent., as doubtless it would, the increased price thereafter 
on all commodities exported in consequence of reduced 
freight rates would save to this country annually more 
than ten millions of dollars. 

To illustrate: if corn is worth 55c. per bushel in Chicago 
and the freight is 15c. per bushel from Kansas or Ne- 
braska, corn would bring in those States 40c. per bushel, 
but if the rate of freight were reduced to 10c. per bushel, 
corn would then bring in those States 45c. per bushel. The 
same principle applies to all merchandise exported. 

There is paid annually over $100,000,000 for the trans- 
portation of American products to foreign markets. 

Thus it will be seen that were the Government to in- 
augurate the policj' of paying tonnage bounties as herein 
contemplated, the annual saving would be over $10,- 
000,000. 

The Government could thereafter expend ten million 
dollars annually in tonnage bounties without adding to 
the burdens of the people, the reduced freight rates on 
exjjorts being equal to or more than the tonnage bounties 
so paid. By the expenditure of $100,000,000 in tonnage 
bounties, as herein contemplated, during the next twelve 
or fifteen years, it would put afloat two hundred and fifty 
4,000 ton ships and five hundred 2,000 ton ships, or the 
equivalent in tonnage, the bounty being upon the basis of 
$50 per ton, which doubtless could be reduced from time 
to time' as the cost of material should decline in price, 
and methods in ship building should be improved. Ships 
built with the aid of the Government should be exempt from 
all Federal, State and municipal taxation for a period of 
twenty years, and should be subject to be called into the 
service of the United States at any time when the exigen- 
cies of the countrj' should demand, and reasonable com- 
pensation made therefor, less the proportion of tonnage 
bounty paid thereon. 

It is believed that this is the only policy by which the 
country can build up its merchant marine and recover its 
former position in the foreign carrying trade. By so doing 
there will soon be saved annually to the people of this 
country more than $50,000,000, in addition to tlie natural 
increase of commerce, that is now being paid to foreign shi]> 
owners for carrying American products to market. 



(n 



Tlie iiayineiit of a tonnage bounty, as herein contem- 
plated, will only afford to the capital invested in foreign 
commerce the same degree of protection that is now furn- 
ished to the manufacturing industries of the country 
through the protective tariif. 

In carrying this policy into operation there should be 
created a non-partisan Commission to consist of six com- 
petent, reliable men, wiiose duty should be to guard well 
the Government's interest in all shijis built by the aid of 
tonnage bounty, and to see that the ships so built conform 
to the conditions upon which Government aid is rendered. 

The ships so aided sliould be known as United States 
mail steam ships, and should be employed, so far as the 
service shall require, in the transportation of United States 
mails, contracts being let for such service to the lowest 
responsible bidder. 

Regular and frequent mail service, in American ships 
and under the American flag, should be established to the 
leading commercial centres of the world, as rapidly as tlie 
conditions of trade and commerce shall warrant, thereby 
furnishing regular and frequent transportation for the ex- 
port of .^.merican products to foreign markets. 

Should there be expended during the next twelve or 
fifteen years by the Government the sum of $100,000,000 
in pa3'ment of tonnage bounties, as herein contemplated, 
there would be invested during the same period about 
$300,000,000 additional capital in the building of ships to 
engage in the foreign carrying trade. To these large sums 
tiiere would be added annually large amounts for suj)plies 
and outfits, repairs, etc., nearly all of which would be 
expended in the markets of our own country. 

The building up of a merchant marine means the es- 
tablishment of a large number of ship yards, provided 
with all the tools and appliances required in the construc- 
tion and equipment of ships. It means the employment 
of a vast amount of labor. This labor must be fed from 
the farms and clothed from the factories, thereby greatly 
'benefiting all the industries of the country. 

The money thus expended would be distributed among 
our own people, thereby enriching the country and mak- 
ing it more and more prosperous. 

OUR NAVY AND COAST DEFENCES. 

AVhat more can be said than has already been stated 
on this subject ? The country for the most part is in an 
exposed and defenseless condition, liable at any time to 



deep humiliation at home and abroad, without power to 
resent an insult, or to compel the redress of wrong. This 
ought not so to be. 

The aggregate population clustered along the Atlantic 
seaboard from Maine to Florida is about 5,000,000, while 
the value of public and private property, within easy and 
destructive range of a hostile fleet, cannot be far short of 
$2,000,000,000. The losses that might be inflicted in a few 
hours, in their present unprotected condition, would ex- 
ceed more than ten-fold the entire cost of suitable perma- 
nent defences for the whole country. 

The Gulf and Pacific coasts are equally defenseless. 

This is a question in which the whole countrj^ is deeply 
interested. 

Whatever calamity or loss may fall upon any portion 
of the country from lack of suitable defenses must be borne 
by the whole people. 

It is a source of great gratification that our country is 
at peace with all nations. It is to be hoped that this 
happy state of things may continue, but sometimes the 
best of friends fall out. The nation should provide ample 
protection for any emergency that may arise. 

The present Congress has made a commencement in 
the right direction which should be vigorously pushed. 

This country should possess adequate coast defenses 
and a navy that shall not be excelled in efficiency and 
power. 

To provide suitable coast defenses and to construct an 
adequate navy involves a vast amount of labor and a verj^ 
large outlay in money. The labor involved in supervising 
so large an outlay cannot be economically and successfully 
performed by the ordinary agencies of the Government. 
Congress should create a Commission which should be non- 
partisan and composed of eight competent, reliable and res- 
p(msible men — one naval engineer, one army engineer, and 
six good, competent and reliable business men, to be nomi- 
nated by the President and confirmed by the Senate. The 
term of oiEce to be eight years, the term of one member of 
the Commission expiring each year. To this Commission 
should be referred the supervision of the construction of 
adequate coast defenses, and the construction of a navy, 
and repair of naval ships under the direction of Congress. 

Under the direction of such a Commission the construc- 
tion of coast defenses and the building and repairing of 
naval .ships would be reduced to a system and great econ- 
omy and dispatch thereby secured. 



(4) 



Considering the defenseless condition of the seaboard, 
the power and energies of the government should be em- 
ployed to remedy the existing state of things as speedily 
as possible. 

INTER-OCEANIC CANAL. 

The commercial necessity of a water-way to connect the 
two great oceans and thereby shorten the water route and 
diminish freight rates between the east and far west is 
felt more and more each year. 

Regardless of the success or failure of M. De Lesseps in 
his undertaking in tliis direction, the United States should 
own and control a canal connecting the two great oceans. 

If the Clayton and Bulwer treaty stands in the way of 
the Government securing the right of way from the Re- 
public of Nicaragua and constructing a canal for this pur- 
pose, it should be abrogated at the earliest practicable 
moment. According to the estimates of able engineers the 
canal, via the Nicaragua route can be constructed and 
equipped at a cost not to exceed $150,000,000, and would 
require about six jj-ears. 

The benefits to be derived from the construction of this 
canal can hardly be estimated. One immediate benefit 
would be the reduction of freight rates between the 
eastern and western coasts at least one-half from the 
present rates by rail, thereby saving many millions of 
dollars annually to shi2)pers and to the public, and by 
water the rates would be less than one-third the present 
rates by rail. 

The reader is respectfully referred to a more elaborate 
statement of this question in the Supplement of January, 
1883, which is accompanied with a map of the proposed 
canal. 

PUBLIC SCHOOLS. 

The disclosures of the last census returns as to the 
amount of illiteracy in the country, and more especially 
in the late slave-holding States, should arouse the people 
of this country to the great peril that awaits it unless this 
great evil is remedied. 

While the illiterate adult population cannot be reached 
to any considerable extent the Government should see to 
it that amj^le provision is made for the education of the 
rising generation. 

The question of Government aid to public scliools lias 
been before Congress for several sessions. Two bills for 



this purpose are now pending, neither of which goes far 
enough. The sum of $15,000,000 should be annually ap- 
propriated for this purpose, and diminished according to 
tiie provisions of the bill after the lapse of ten j-ears. At- 
tendance upon school should be compulsory for at least ' 
six montlis of each year of all children of school age, unless 
there are mitigating circumstances to prevent such attend- 
ance. To educate two generations of children of school 
age in the public schools, which would require about 
twenty years, would establish the jjublic school system on 
a firm basis in all the States and Territories. 

Thereafter the several States and Territories could be 
relied upon to provide liberally for the education of com- 
ing generations. 

With an appropriation of $15,000,000 annually by the 
Government, and a like sum raised by State and local 
taxation, a rate of compensation could be paid that would 
command a class of competent and skilled teachers in all 
parts of the country, thereby raising the standard of edu- 
cation in all the States. 

A more legitimate expenditure of public money can 
hardly be contemplated as affectimg the future welfare 
and prosperity of the people, and the stability of our 
institutions. 

Intelligence, purity and honesty are the chief bulwarks 
of civil and religious liberty. Whatever will promote 
these should not be withheld. 

On page 8 of the Supplement of Januarj^, 1888, will be 
found a comparative statement in 1870 and 1880 of tlie 
illiteracy of the population of voting age in the late slave- 
holding States. 

INLAND WATERWAYS. 

The necessity of improving well our rivers and harbors 
and constructing additional waterway's to accommodate 
the increasing commerce of thecountrj', is well understood 
and needs no comment in this connection. 

POLYGAMY. 

This abomination is a standing menace to the future 
peace and welfare of the Republic, and its power is increas- 
ing each year. Congress has legislp.ted upon it, and a 
bill is now pending which contemplates a more rigid en- 
forcement of existing laws, and the elimination of woman 
suffrage in tlie Territory of Utah, and some other radical 
changes, but it does not go far enough. 



(5) 



The military power of the Government should be em- 
ployed, if necessary, to secure the enforcement of the laws 
of the United St;ites and the protection of citizens. 

Provision should be made for the support of mothers 
who have borne children in plural wedlock, and for the 
support, care and education of children born in plural 
wedlock ; by so doing the solution of this vexed and 
dangerous question would be greatly facilitated. 

The expenditure of $5,000,000 annually, or so much 
as shall be required to suitably care for these unfortunate 
women and children would be a wise and prudent use of 
public moneys. 

For a more complete synopsis of this question the reader 
is referred to the original paper of March, 1882. 

QUERY. 

Can the country afford to enter upon these undertak- 
ings and expend thereon the amount^of money necessary 
to carry them forward to completion and success? 

Are the objects to be attained sufficient to warrant so 
large an investment? 

Are the resources of the country sufficient to warrant 
so large an undertaking, and is its financial condition 
such as will enable the Government to carry out these un- 
dertakings without embarrassment to itself and to the 
business of the country. 

WHAT IS THE FINANCIAL CONDITION OF THE 
GOVERNMENT AND OF THE COUNTRY ? 

The ordinary revenues from all sources for 

the fiscal j'ear ending June 30, 1883, 

were ------ $398,287,581 95 

The ordinary expenditures for the same 

period were ----- 265,408,137 54 

Leaving a surplus of - - - 

FISCAL YEAR. 1884. 



$132,879,444 41 



Total receipts, actual and estimated - - $343,000,000.00 
Total expenditures for the same period, 

actual and estimated ----- 258,000,000.00 



Balance - 



85,000,000.00 



This balance must be used in extinguishing the Na- 
tional debt, or for other wise and judicious^purposes, or 
taxation must be greatly reduced. 



It is against the public judgment to reduce the tariff at 
the present time. The internal revenues are now collect- 
ed from luxuries, which are proper sources of revenue. 

A further reduction of the interest bearing debt, which 
is $1,312,446,050.00, by this generation, seems unwise, and 
in a degree unjust, as the purposes for which it was created 
and the blessings thereby attained will be enjoyed by 
future generations. 

The balance of the National debt, as it matures, should 
be funded in long-time bonds, bearing a low rate of inter- 
est, and carried as a basis of the National Banking System, 
which is the best ever enjoyed by any country. 

The law creating the Sinking Fund should be repealed 
as soon as possible. The payment of the National debt 
would necessarily abolish the National Banking System, 
and bring upon the country untold financial complications 
and embarrassment, and possibly financial ruin. 

FINANCES. 

The finances of the country are in most excellent con- 
dition, as is shown by the following statement of the Sec- 
retary in his last report to Congress. Gold coin and gold 
bullion were as follows, viz : 

United States gold coin - - - - $544,512,699 
United States gold bullion - - - 61,683,816 

United States silver coin - - - - 235,291,323 
United States silver bullion - - - 5,107,911 



Total ------- $846,595,749 

The National Bank circulation, October 2nd, 



1883, was - 
Government notes or green backs 

Total currencv - - - - 



$314,931,557 
346,681,016 

$661,612,573 



Thus it will be seen that the revenues and finances of 
the Government are in a most satisfactory condition. 

High water mark of the National debt was reached 
August 31st, 1865, when it reached, less cash in the treas- 
ury, $2,756,431,571. The annual interest at that time was 
about $160,000,000; it has been reduced to $51,500,000. 
The total non-interest and interest bearing debt, less cash 
in the treasury Jan. 31st, 1884, was $1,486,083,719. This 
great reduction of the debt and interest thereon has been 
made during the past eighteen years. During this time 
the country has passed through a financial revolution* 



(6) 



longer in duration and more destructive in its consequen- 
ces than has ever been known in its history. 

INDICATIONS OF PROSPERITY. 

In 1860 we had 2,044,077 farms, valued at $6,645,045,007. 
In 1880 the number was 4,008,907, their value, $10,197,- 
096,776. The farm implements in 1860 were worth $246,- 
118,141; in 1880, $406,820,055, and in the same score of 
years the jiroduction of cereals has increased more than 
100 per cent; from 1,230,000,000 bushels to 2,710,000,000 
bushels per annum. 

There were employed in the factories of the United 
States in 1860, 1,311,000 hands; and in 1880, 2,719,000. 

In 1872 the iron product was about 2,000,000 tons; in 
1883 it was 5,146,972 tons. 

The vakie of manufactured products in 1860 was 
$1,885,000,000, in 1880 it was $5,369,000,000. The build- 
ing of railroads in this country during the last twenty 
years is without precedent in the history of the world. 

Statistics could be multiplied almost indefinitely to 
show the development of this country. One or two more 
comparisons must suffice. The aggregate wealth of the 
country in 1850 was $7,135,780,228, in 1860 it was $16,- 
159,616,068, in 1870 it was about $28,000,000,000, in 1880 
it was $49,770,000,000. 

Should the country continue reasonably prosperous, its 
aggregate wealth will reach $80,000,000,000 in 1890, and 
by the close of the next decade it is likely to reach the 
sum of $120,000,000,000, and our population at least 
100,000,000. 

In the light of the jjast experience of this country, and 
considering the unbounded resources and the great vital 
energy and enterprise of its peoj^le, and in view of the 
rapidly increasing demand for wider and broader mar- 
kets, for its surplus manufactures as well as agricultural 
products, are the undertakings herein advocated unreason- 
able, unwise or dangerous? On the contrary, should the 
country fail to enter upon and carry out these undertak- 
ings, will it not suffer irreparable loss in the near-by and 
far-off future, and bring upon itself premature decay? 

EXPENDITURES REQUIRED. 

To carry out the undertakings substantially as herein 
advocated, would require annually, for a term of twelve or 
fifteen years, except for the construction of the Inter- 



Oceanic Canal, and that for a period of six years, the fol- 
lowing sums, viz : 

For tonnage bounties ----- $10,000,000 
For mail service in American ships to leading 

commercial centres - - - - 5,000,000 

F,or the construction of coast defences and an 

adequate navy ----- 25,000,000 

For public schools ----- 15,000,000 

For the construction of the Inter-Oceanic Canal 25,000,000 
For the improvement of water courses and 

construction of others - - - - 5,000,000 

For the suppression of polygamy in the ter- 
ritories, possibly ----- 5,000,000 

Total - - - $90,000,000 

Under favorable and judicious treaties with Mexico, 
and with the Central and South American States, these 
neutral markets would furnish almost immediately an out- 
let for a large amount of our surplus products. These are 
large countries, with large and increasing populations. 

Mexico has 741,860 square miles, and a population of 
9,656,668. 

The Central American States have 188,199 square 
miles, and a population of 2,561,884. 

The South American States have 6,775,596 square miles, 
and 27,154,769 population, and 6,551 miles of railroad. 

Thus it will be seen that we have a population of 
39,373,321 just at our very door that should be largely sup- 
plied from the United States, yet American goods are 
rarelj' found in these markets. 

The European States, including Russia, have 4,067,624 
square miles, and a population of 353,882,651. With these 
countries we already have a large commerce, chiefly car- 
ried on in foreign ships. With American ships making 
regular and frequent trips in the United States mail serv- 
ice to these leading commercial centers, it is believed the 
traffic with these countries would be greatly increased. 

Africa, the dark continent, is now being explored and 
ojjened up to the commerce of the world. Its area (includ- 
ing islands) is 10,941,000 square miles, and a population 
of 205,000,000. 

England is looking sharply after this trade. In 1878 
she sent 98,000,000 yards of cotton goods to that country, 
besides large quantities of other articles. The valley of 



(7) 



the Congo river, which is not unlike our Mississippi and 
Missouri rivers, is estimated to contain a population of 
50,000,000. 

Our American Stanley is one of the foremost explorers 
of that country since the death of Dr. Livingstone. Am- 
erican enterprise should not fail to secure a fair proportion 
of the trade of that great country. 

It is suggestive that England, a few weeks ago, passed, 
in the House of Commons, a resolution that no nation 
shall be allowed to acquire permanent rights on the banks 
of the Congo without her consent. There are about 
7,000,000 Christians in Africa, and civilization is advanc- 
ing rapidly. 

With the construction of the Inter-Oceanic Canal, via 
the Nicaragua route, the great markets of Oceanica and 
Asia would be brought within thirty days' sail by steam 
of New York. 

Oceanica is the sixth grand division and has 4,216,000 
square miles and 39,200,000 population. 

The British colonies, a part of Oceanica, contain 3,104,- 
958 square miles and 2,749,990 population. This is an 
English speaking people, and is destined at no dis- 
tant day to become an independent republic. Mel- 
Ijourne, the capital of Victoria, has a population of 
280,836. Sidnej', tlie capital of New South Wales, has a 
population of 222,133. These colonies have 4,561 miles of 
railroads. They have a good public school system and 
are advancing rapidly. 

Commerce once opened with these colonies would be- 
come very large and profitable. 

ASIA. 

It has, including Asiatic Russia, 18,340,474 square 
miles, with 883,700,289 population. 

With direct communication through the Ijiter-Oceanic 
Canal, with this great population, the magnitude of the 
trade and commerce that may be built up and established 
can only be conjectured ; that if will become very large 
and profitable does not admit of a doubt. 

In all this vast country the arts and methods of modern 
civilization are but poorly understood. 

In some of the countries of Asia the population is very 
dense, and life a burden. Among the lower classes ex- 



treme poverty and abject squalor is the rule. For the 
most part there are no highways suitable for the passage 
of vehicles, and but few railroads. With the introduction 
of the appliances and methods of modern civilization, the 
condition of the people would rapidly improve, and there 
would soon be a demand for the manufactured as well as 
agricultural products of this country. England ships an- 
nually to India over 400,000,000 yards of cotton goods, and 
large quantities of other articles. 

When we consider that India has a population of 252,- 
500,000. and China 434,500,000, and .Jaiian 34,338,000, and 
that for the most part the markets of these great countries 
are now open to the commerce of the world, it is only 
reasonable and common prudence for this country to make 
an effort to share in tlie benefits of tiiis great commerce, 
and in so doing we may not only enrich and benefit our- 
selves, but introduce a higher civilization among tiiese 
teeming millions, and thereby confer u|)on them permanent 
and far-reaching benefits. 

In this broad country of bountiful harvests and a super- 
abundance of everything that pertains to our civilization, 
we cannot conceive of the condition in which the larger 
portion of the people of tliese densely-populated countries 
live. By the introduction of the appliances and meth- 
ods of modern civilization, tiieir condition would improve 
rapidly; as civilization advanced their wants would in- 
crease, and their ability to supjily them would correspond- 
ingly increase. 

There are enough broad acres on the face of the earth, 
and enough sunlight and showers, if properly util- 
ized, to provide every human being with the neces- 
saries and comforts of life, even if the population of tiie 
earth were multiplied many times. 



EXPORTS AND IMPORTS. 

The value of exjtorts of domestic n^erchaudise for the 
year ending June 30, 1883, was $804,223,632. The value 
of imports of merchandise into the United States for the 
same period was $723,180,914. Total exports and imports 
$1,527,404,546. Of the merchandise imported into the 
United States during the fiscal year 1883, $136,002,290 
were brought in American vessels, and $564,175,576 in 
foreign vessels, and $23,003,048 in railroad cars and other 
land vehicles. Of the exports of merchandise a balue of 
$104,418,210 were siiipped in American vessels, and a 



(8) 



$094,831,348 in foreign vessels, and $25,089,844 in railroad 
cars and other laud veliicles. 

It will be seen from the statistical returns that for many 
years past of the exports and imjwrts of merchandise, no 
greater part than an average amount of 16 per cent., has 
been carried in American vessels. 

The causes that have produced this great dearth of 
American ships to engage in the foreign carrying trade 
are jilain and unmistakable. There has been imposed 
by the United States, on American shipping, onerous 
taxes in one form or another which have proved very 
damaging to the shipping interests ; but the greatest 
obstacle is the cost of American ships over those built 
in foreign countries, and especially on the Clyde. 

As before stated, with a difference of 33J per cent, 
against American ships, as compared with the cost 
of ships built upon the Clyde, it is futile to look for any im- 
jirovement in this direction until some provision shall be 
made whereby American capital shall be able to put ships 
afloat at a cost not to exceed that of the same class of ships 
built abroad. 

There is no way by which this can be accomplished 
except by the payment of a tonnage bounty and the 
repeal of onerous taxes. By the payment of ten million 
dollars annually, more or less, in tonnage bounties, and by 
contracting with American ship owners to carry the 
United States mails in American ships carrying the United 
States flag, the evil complained of would soon be remedied. 

One thing maybe relied upon: England will never 
furnish satisfactory facilities for the transjjortation of Am- 
erican products to compete with her in the markets that 
she is now supplying. 

It may be urged that we could not i)Ut our surplus 
products upon the foreign markets, except at a loss, had 
we an abundance of ships afloat. We will cross that bridge 
when we come to it. 

Careful investigation has disclosed the fact that in nine 
out of ten of the manufacturing industries of the country 
the productive power will, if operated to its average ca- 
pacity, supply the home market by running eight or nine 
months in each j'ear. This being the case the factories 
must be closed from one-third to one-quarter of the time 
each year. 

When we consider that there are over 2,719,000 opera- 
tives employed in these factories, allowing that these 



factories are idle on an average but three months in each 
year, there is a loss to these operatives of 203,925,000 
days' work. 

Placing their wages at the low average of one dollar 
per day it makes a loss to these operatives of $203,925,000 
annually. This heavy loss falls upon a class that can ill 
aff'ord it, a people who depend upon their daily labor for the 
necessaries and comforts of life, and who, when deprived 
of labor for a long period, suffer great privation and 
hardship. 

The annual loss to the country by enforced idleness is 
more than one hundred per cent, greater than would be 
the cost to the Government to enter upon the undertakings 
herein advocated, and to carry them forward to successful 
completion, thereby opening up unlimited markets for the 
surplus products of the country and furnishing continu- 
ous employment for the people. 

Enforced idleness affects not only the operatives em- 
ployed in the factories but vast numbers employed 
in other industries. Again, these factories become a bill 
of expense for three months of the year to the owners 
thereof. Taxes and insurance are running up against 
them, besides the depreciation which idleness always inflicts 
upon machinery. 

The condition of manufacturing industries is not satis- 
factory. In the iron and steel industrj^ a strike by the 
operatives of four months' duration in 1882 did not cause 
any considerable advance in these articles ; the market was 
abund.antly supplied except in a few lines of goods. The 
fact is, the country is largely overstocked with manu- 
factured goods. Where is the remedy to be found for 
over production ? The power of production is constantly 
increasing by the introduction of new and inqiroved labor- 
saving machinery. 

There is but one answer to this question. We must 
have broader markets or enforced idleness will .be upon us 
in large and dangerous proportions. 

We will here illustrate a point, which will enable us to 
cross the bridge of high prices when we come to it. 

A mechanic employed at $3.00 per day, and receiving 
200 days employment in a year, will earn $600 ; allowing 
that the wages of labor employed in all other lines of pro- 
duction are based on a corresponding plane of prices, when 
the mechanic that receives $3.00 per day goes into the mar- 
ket to purchase the necessaries, comforts and luxuries of 



(^) 



life, he pays a })rice which corresponds to the price paid to 
the labor that produces the goods he buys. 

Suppose the same mechanic receives but $2.00 per day, 
but is employed 300 daj's in a year, he receives for the 
year's services $600, and suppose all other classes of labor 
receive a. correspondingly reduced price, then all articles 
produced will be correspondingljr cheaper. 

When the mechanic that receives $2.00 per day, and 
works 300 daj'S in the year, goes into the market to buy 
the necessaries, comforts and luxuries of life, he buys in a 
market where the prices of the goods purchased are corres- 
pondingly cheaper. Four Inindred dollars earned at $2.00 
per day will buy as many necessaries, comforts and lux- 
uries of life as the $G00 did tlial he earned at $3.00 per day. 
He has actually made $200 by working at $2.00 per day, 
and receiving 300 days work in a year. 

This is a lesson the people of this country have yet to 
learn, yet they will learn it in time. 

On a basis of lower prices, the surplus products of this 
country may go into foreign markets at a margin of profit. 
When that time comes the labor of the country will buy in 
a correspondingly lower priced market, and will not suffer 
thereb}', but will receive continuous employment from 
year to year, with rare excei)tions. 

If the farmer buj's his manufactured goods in a low 
priced market, he can sell his products at a correspondingly 
cheaper price, and will not suffer thereby. 

This country is not prepared for free trade at the pre- 
sent time, but a reduction of 20 or 25 per cent, in the 
tariff would not deprive us of the home market, and would 
be a step in the right direction. 

NATIONAL POLICY. 

The statements herein made being substantially correct 
in every particular, it would seem that the future policy to 
be adopted by the Government and the people is plain and 
unmistakable. 

The undertakings herein advocated are broad and far- 
reaching in tlieir cliaracter, requiring the same line of 
policy to be followed for a period of fifteen years or more. 
It cannot succeed as the jiolicy of one party to the exclu- 
sion of the other. It must become the policy of both 



political i>artiep, each vieing with the other in their efforts 
to carry forward these great undertakings to successful 
completion. 

BENEFITS TO BE DERIVED THEREFROM. 

In this connection we will attempt the enumeration of 
but a few of the chief benefits to be derived from this line 
of policy. 

To restore the United States to its former position in the 
foreign carrying trade, including the increase of the foreign 
commerce, will require an outlay of at least $600,000,000. 
Iron steam siiips are chiefly ^required in this service. The 
construction of so large an amount of tonnage will furnish 
em[)loyment to a large population. 

The ore must be taken from its bed, and the coal from 
the mine, and the iron and steel manufactured therefrom. 
The timber must be taken from the forests and prepared 
for its proper use. Every part must be brought to its pro- 
per place, in the finished and fully equipped ship, all of 
which must be accomplished at the expense of labor. The 
proportion of the outlay contemplated to be borne by the 
Government in tlie payment of tonnage bounties would 
not exceed $150,000,000, and the balance, $450,000,000, 
would represent American capital. 

The construction of adequate coast defences and a navy 
that shall not be excelled in efficiency and power, doubt- 
less would cost about $400,000,000. This outlay should be 
regarded as an ordinary and necessary expenditure of 
Government for tlie protection of American interests at 
home and abroad. It is clearly manifest that no consider- 
able amount of American capital will seek investment in 
shipping, unless the Government shall provide an ade- 
quate navy for its protection, nor will manufacturers and 
merchants risk their merchandise or their lives abroad to 
any great extent, unless the Government shall be fully pre- 
pared and able to protect them and their interests. 

Diplomacy with pen and paper is much to be com- 
mended ; but such diplomacy will be more likely to suc- 
ceed when backed by ample power to enforce reasonable 
and just demands. 

The construction of the Inter-Oceanic Canal is clearly 
a wise and prudent National Policy. It involves an out- 
lay on the part of the Government of about $150,000,000. 
The construction of this canal would shorten the water 



(10) 



route between New York and San Francisco over 10,000 
miles, and bring New York within tliirt}' days by steam of 
the great markets of Australia, Japan, India and China, 
thereby opening uj) unlimited markets for the surplus jiro- 
ducts of this country. 

The ex2:)enditure by the Government of $15,000,000 an- 
nually in aid of public schools must be regarded as a wise 
and patriotic foresight. 

It will tend to make the people in all the States more 
homogeneous, and unite them in stronger bonds of frater- 
nal friendship, and establish our institutions on founda- 
tions that shall endure. 

The expenditure by the Government of $5,000,000 an- 
nually, or so mueh thereof as is necessary for the improve- 
ment of inland waterways and the construction of others, 
is clearly manifest. 

The suppression of polygamy is a duty this generation 
owes to itself and to coming generations, and should be 
faithfully and 2>rom2)tly performed, at whatever necessary 
cost. 

We have clearly shown that the finances and resources 
and revenues of the country abundantly warrant the Gov- 
ernment in entering upon these undertakings and carrying 
them forward to successful completion. In so doing, tliere 
is not a worker in the mines, or in the forests, or fields, or 
upon the water, or railroads, or in the shops a.nd factories 
of this country but will be largely benefited. The 
money so expended will be distributed broadcast among 
all the industries of the country. The agricultural, manu- 
facturing and shipping industries will reaji a bouidifxd 
reward. The capital of the country will be rendered more 
profitable and more secure. 

The money so expended will remain in the country for 
the most part, therefore there will be no disturbance of our 
finances. 

By the adoption of this policy, before the close of the 
next decade, American shipping will floatupon all the free 
and navigable waters of the globe, and our manufactured 



as well as our agricultural products will be found in all of 
the leading markets of the world, and our flag will com- 
mand the respect of all the nations of the earth. 

On the other hand, if a vacillating and half-way policy 
shall l)e pursued, the enforced idleness that is nowujjon the 
country which is costing the manufacturing population 
203,925,000 days' work annually, which is equivalent to 
$203,025,000, based on the low average of one dollar per 
day, will continue to increase from year to year, and the 
great commonwealth will be dejDrived of this vast sum 
that should be added to the wealth of the nation. 

What pen can picture the sorrow, suffering, privation 
and iieart burnings this line of policy will bring upon the 
people. It means children dwarfed for the want of food 
to support their bodies" and pinched for the want of 
clothing, shelter and fuel to keep them warm. It means 
that the condition of the manufacturing population will 
not improve, that the savings accumulated during nine 
months' employment will be consumed in bridging over 
three months of idleness each year. No industry can 
escape the withering blight of enforced idleness in any 
other branch of industry. 

A kind Providence has greatly blessed and prospered 
this nation in the past, and it is believed that by the 
adoption of a wise, broad, comprehensive and aggressive 
policy its progress and prosperity in the future may be 
even greater than in the past, and the cause of Christian 
civilization greatly promoted throughout the world. 

In conclusion I would emjshasize the statements sub- 
stantially as made in mj' original paper of March, 1882, 
and the Supj^lement thereto of January, 1883. 

Very respectfully, 

DAVID M. RICHARDSON. 



DjiTKOiT, Micii., March 24tli, 1884. 






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